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You can expect 10-20 percent bonus for a new job

Monday, 17 January 2011, 03:28 Hrs   |    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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Reader's comments(11)
1: Very Good Keep it up
Posted by:Dr. Lakshmi - 21 Jan, 2011
2: Now a days companies are not giving good benefits to existing people & giving these type of things to new joinees. So, people are shifing jobs frequently.
Posted by:THOMAS - 18 Jan, 2011
3:
Absolutely right, but i think this is not good by loosing existing talented people without offering nothing & offering heavy in search of new talents..!
Mahesh Sunnur Replied to: THOMAS - 18 Jan, 2011
4: IS IT POSSIBLE THA NEWCOMER'S ARE GETTING CHANCE EASYLY TO THEIR PREFER SECTOR ?
Posted by:PARTHA - 17 Jan, 2011
5: wow, this is good news :) i am actually expecting 25-30% as we didnt get decent hikes in the recent past.. any comments
Posted by:Kiran - 16 Jan, 2011
6: BUT IT MUST BE GIVEN TO ALL EMPLOYEE NOT ONLY TO THE SENIOR PEPOLE,,
Posted by:NAVEEN - 16 Jan, 2011
7: Joining bonus will definitely help company to attract new joiner's attention and possible keep him away from other offers in hand.
Posted by:Mahantesh Khairate - 16 Jan, 2011
8: I think now the yonger generation will keep quitting to get such bonuses.Is it a right way to get the right talents
Posted by:Amal Krishnan - 16 Jan, 2011
9: Wow this is a good new
Posted by:Ravi - 16 Jan, 2011
10:
Not good, then what about the existing top talented persons.
Sam Replied to: Ravi - 16 Jan, 2011
11:
Good way to compensate people loosing on annual bonus due to new joining ...will definitely give a company an upper edge in talent acquistion
kalpak prasad Replied to: Sam - 17 Jan, 2011