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Indian Startup Workers Get Average Salary Hike Of 8 To 12% In 2022-23: Report
According to the venture capital firm Elevation Capital, the performance of employees continued to hold 50 percent of the weightage on salary increments while taking on additional responsibilities and receiving a promotion factored in about 20 percent.
New Delhi: Indian startup employees received an average salary increment of 8 to 12 percent in 2022-2023, with the variation attributable to individual and company performance, the quality and level of talent, and location, a new report showed on Thursday.
According to the venture capital firm Elevation Capital, the performance of employees continued to hold 50 percent of the weightage on salary increments while taking on additional responsibilities and receiving a promotion factored in about 20 percent. (Also Read: Earn Rs 2 Lakh Monthly: Start The Low-Investment Business Idea That's Changing Lives)
"The shift in the market situation has led to a correction in salaries, though largely at the leadership level. Interestingly, on the other hand, job seekers are willing to wait longer for the right job opportunity than settle for less-than-ideal pay," said Dipesh Jain, AVP - Talent, Elevation Capital. (Also Read: 10 ChatGPT Ideas That Can Help Students Earn Money)
Moreover, the report said that the companies delayed salary increments or provided new stock grants instead of cash increments for leadership roles.
For leadership roles, such as CXOs and function heads, exploring stock-based increments may be more appropriate while also planning to reassess the cash component in a few quarters.
Bengaluru and Hyderabad emerged as top cities for tech talent availability with a combined share of 72 percent but raised factors such as attrition, hiring cost, and skill level as necessary considerations for startups.
Some of the critical roles filled among the first few hires at early-stage companies are Chief of Staff/Founders’ Office, Growth, and Finance, the report mentioned.
"In the face of macro challenges, Indian startups are showcasing adaptability by offering inflation-led salary increments to attract and retain talent. However, the variation is significant, with technology professionals in small to mid-size startups seeing moderate increments," said Kallan H., VP - Talent, Elevation Capital.
According to the report, there is a high demand for tech talent with moderate to strong prior functional expertise and adequate experience working on complex problems, as well as experience working across startups and MNCs.