You can expect 10-20 percent bonus for a new job
Monday, 17 January 2011, 15:58 IST   |    11 Comments
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You can expect 10-20 percent bonus for a new job
New Delhi: As the demand for skilled workforce increases many firms are planning to offer joining bonuses, which is usually over 10 percent of their overall cost to company. The main reason for offering joining bonus is to ensure that the company gets the right talent at the right time. After a lull, hiring activities have gained momentum in recent times, especially with companies' envisaging mega expansion plans. According to experts, the trend of joining bonuses is more seen in sectors such as BFSI (Banking, Financial Services and Insurance), IT/ITeS, Services, Power, Energy and Infrastructure. "Companies are offering joining bonus as demand for skilled workforce is high, at times there are crucial positions to be filled for which companies cannot wait to get people on board," executive search firm GlobalHunt India's Director, Sunil Goel said. "On an average, firms are doling out between 10-20 percent of annual CTC to retain senior employees. Maximum and highest joining bonuses are being offered in BFSI sector," Goel said. In many cases, joining bonuses are paid by the firm, when an employee loses out on benefits (such as bonuses) while leaving the existing company. Experts also opined that joining bonuses are not included in an employee's CTC and companies' have different terms and conditions for such bonuses. Companies usually dole out joining bonuses as 'a one-time payout... over and above the salary as cash. Hiring as well as salaries is expected to surge as much as 20 percent this year.
Source: PTI
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