IT offers disappoint freshers

MUMBAI: With the campus recruitment season for 2009-2010 beginning in regional engineering colleges across the country last week, the entry-level salaries have not been increased. Most IT companies have offered the same pay-package as last year and also reduced the intake of students. IT companies account for more than 80 per cent of the recruitment in engineering colleges. The salary for 2008-09 graduates saw a hike of at least 10 per cent across leading IT companies when compared to that of 2007-08 graduates. This year, the salary has remained unchanged and companies do not see why they should increase their pay package. “We do not foresee any reason for a hike as we can hire people for the same package as last year,” said a Tata Consultancy Services (TCS) spokesperson. TCS and Cognizant Technology Solutions had increased entry-level salaries by 9 per cent last year. “Due to the near-recession in US, margins are now under pressure and high costs are increasingly becoming a drag. Companies are trying to keep costs under control and higher salaries add to their expenses. Especially since the freshers are not trained in relevant industry skills and the company has to pool in resources to teach them the relevant skills,” said a senior HR professional in the IT industry. The colleges are not in a position to refuse any of the IT firms because it is their duty to ensure 100 per cent placements. There’s not much the colleges can do as this is the case with all the companies, said the dean (placements) of a reputed Chennai-based engineering college. The students, too, have no bargaining power. “If at least a few companies were paying higher than last year, we could have demanded a better salary. It seems like all the IT companies have ganged up against us,” said a final-year computer science engineering student. However, none of us will refuse the job as it is difficult to get one these days, he added. IT companies have also reduced the intake of students this year and are visiting fewer colleges. The number of students hired this year saw a 20 per cent to 40 per cent dip when compared to the previous years. Top IT firms like Wipro, CTS and Infosys are vying for the first slot on the first day of campus recruitment in all colleges. If they haven’t been given the first preference, they skip the college. “Since we couldn’t accommodate CTS and HCL on the first day of our placements, they decided to give our college a miss. However, there are a few IT companies like Wipro who said they did get back to us after their second quarter results in September,” said Mohamed Tajudeen, placement and training officer, Crescent Engineering College. On an average, TCS hired 100 graduates less across most colleges when compared to the previous year. While CTS has maintained the same number as last year. “This decrease in hires reflects the slump in the IT industry and most companies feel that things will look better after the US election next year.” said another dean (placements). This year only 15 IT firms will be coming in for our campus placements, when compared to 50 companies who came in last year, he added.