0 comments Posted by L.ArulRajh at 11:20 PM
With a number of start-ups collapsing mid-way, many employees are now preferring bonuses instead of Employee Stock Option Plans (ESOPs) as part of their compensation package, industry experts said. “We have seen a change where the ESOP component in compensation packages has dropped in start-up companies. This is because they never reach the valuations they initially project and in the past year, a lot of start-ups also had to close businesses. “Since around the end of 2016, we have been witnessing a change from ESOPs to variable bonuses in terms of compensation in these companies,” Mr. Mohit Bharti, Director of professional recruitment consultancy Michael Page India said. This trend is seen across the start-up industry, including e-commerce, food, technology, logistics and financial services, Mr. Bharti added. Echoing a similar view, GlobalHunt Managing Director Mr. Sunil Goel said, with many start-ups collapsing gradually, employees started relying on cash component. “Bonuses are generally short-term component, paid either yearly or quarterly, and is becoming an attractive option even if it is one-third or one-fourth of the value as compared to the ESOPs,” he pointed out. But, Mr. Goel said, start-ups are now at a consolidation phase with lot of buyouts, mergers and acquisitions, so ESOPs might be more beneficial in the long run. TeamLease Services Senior Vice-President Mr. Kunal Sen opined that this has been the trend in the last 1-2 years with declining valuations of e-commerce and tech start-up performance. He said ESOPs will form a lower component in the compensation of top talent going forward, as earlier top talent would agree to a 30-50 per cent salary cut and opt for ESOPs, but not these days.
Source : Thehindubusinessline.com
0 comments Posted by L.ArulRajh at 5:55 AM
The Gujarat government announced hike in salaries of its fixed-pay employees in the range of 63-124% under the Seventh Pay Commission. Effective February 1, the move will benefit over 118,000 employees of various cadre and cost the state exchequer Rs 1,300 crore annually. Announcing the decision, deputy chief minister of Gujarat, Mr. Nitin Patel said, "The state government has decided to hike salaries of fixed-pay employees from February this year. There are 118,738 government employees working as fixed-pay employees in various departments of Gujarat." While class-1 and 2 employees' salaries will increase by 124%, class-3 employees will see a 90% rise, while class-4 will see 63%. The pay for employees in Rs 10,500 scale will be effectively revised upwards to Rs 16,224 a month. Similarly, the salary of those in Rs 11,500 per month scale will be hiked to Rs 19,950, while those in the scale of Rs 16,500 and Rs 17,500 a monthly move up to Rs 31,340 and Rs 38,090, respectively. Also, as against previous hikes that were applicable to employees with minimum five-year work record, the latest hike will embrace even recent inductees. Apart from the hike in basic pay, employees will get a 10% rise in medical allowances, conveyance and HRA benefits. Earlier, the Supreme Court had criticized the Gujarat government for not paying salaries to the fixed-pay employees according to the rules.
Source : Business-standard.com
0 comments Posted by L.ArulRajh at 8:53 AM
Amidst existential questions over the impact of globalisation and concerns around the rising trend of protectionism, 71 per cent of India’s chief executive officers (CEOs) are very confident of their company’s growth in the next 12 months, against a global average of 38 per cent. Globally, 29 per cent of CEOs, on an average, expect economic growth to improve over the next 12 months. However, 42 per cent of India’s CEOs are optimistic of improvement in the global economy. According to an annual survey of 1,379 CEOs across 79 countries carried out by PwC — the findings of which were released at the World Economic Forum in Davos — an impressive 67 per cent of India’s CEOs (against 52 per cent globally) expect to increase headcount in the next 12 months, with just nine per cent (16 per cent globally) planning to cut their workforce. When asked to name the country’s most important for their organisation’s overall growth prospects in the next 12 months, Indian CEOs cited the US (55 per cent), followed by China (30 per cent), the UK (22 per cent) and Germany (16 per cent). Mumbai, New York and London were identified as the most important cities by Indian CEOs for their organisation’s growth. Confidence in the Indian economy is reflected in the optimism of Indian CEOs in their company’s growth. It reinstates India’s growth story, backed by the government’s reforms agenda,” noted Mr. Shyamal Mukherjee, chairman, PwC India. The survey found that CEOs worldwide feel globalisation has done little to solve income inequality — 44 per cent said globalisation has not helped close the gap between the rich and the poor.
Source : Business-standard.com
0 comments Posted by L.ArulRajh at 10:50 PM
Prime Minister Mr. Narendra Modi laid emphasis on innovation in the tourism sector and skill development to boost employment generation. The dominant view at a day-long brainstorming session for top policy makers and economists at the National Institution for Transforming India (NITI) Aayog was the Budget for 2017-18 which should be friendly to citizens and taxpayers. Mr. Modi said Indians, in general, don’t want to evade taxes but they want proper utilisation of their hard-earned money given to the government as taxes. He said people talk of demographic dividends but he wanted to understand from economists as to how could that be reaped when automation was happening. “We need skills, scale and scope to realise our demographic dividend,” Mr. Modi said. He said tourism, both international and domestic, needed to be focused on creating jobs. Besides, skills would have to be developed to make people employable, he added. Defending the government’s decision to bring the Budget presentation ahead by almost a month, Mr. Modi said authorisation of expenditure came with the onset of the monsoon in the existing Budget calendar. This, he said, resulted in government programmes being relatively inactive in the productive pre-monsoon months. Advancing the Budget presentation by a month would allow expenditure to be authorised by the time the new financial year began. Budget is likely to be tabled in Parliament on February one against the usual practice of February 28. Later, briefing reporters about the meeting, NITI Aayog Vice-chairman Mr. Arvind Panagariya said the Prime Minister also underlined the need for greater cooperation among different wings of the government.
Source : Business-standard.com
0 comments Posted by L.ArulRajh at 5:43 AM
After hiring ad-hoc and guest faculties in order to ensure that studies of the students are not affected, Delhi University, one of the most sought after varsities in the country, will appoint over 4,000 teachers on a permanent basis in 2017. In a report submitted before the Delhi High Court on the issue of appointing teachers to vacant posts, the HRD Ministry has said that at a high-level meeting between officials of the ministry, the University Grants Commission and the Delhi University was held recently where the officials had “agreed” that the “holding of regular selection process, in accordance with the rules and the norms laid down in this behalf, is not only an imperative but is also beneficial — both for the student community as well as the teachers themselves”. The Delhi University will issue advertisements for the posts in January. The report was submitted before the bench of Justice J R Midha, in a plea filed in 2001 by a group of teachers appointed in DU as lecturers to teach in the Faculty of Law on ad-hoc basis in 1995. The court had noted that lecturers appointed “as far back” as 1995 were “still continuing as ad-hoc teachers after more than 21 years”. The petition had originally challenged the practice of making lecturers “appear in the interview of the Selection Committee after every six months, even when the petitioners have been continuing to teach as full-time (ad-hoc) lecturers for many years, as arbitrary, unjust and amounting to harassment and exploitation”. On December 1 this year, the bench had appointed a committee of the secretary, Ministry of HRD, the DU V-C and Additional Solicitor General Maninder Singh “to reconsider the present practice and consider framing a fair and reasonable policy in such matters”.
Source : Financialexpress.com