The year 2016 began with a positive and euphemistic note on the possibility of an ‘above expectation’ performance appraisal and a corresponding salary increment.
Even though there was a fear of consolidation in the Indian start-up ecosystem, the salary increase in this sector had been projected to be the highest among all sectors for 2016. Comp & ben analysts projected a 15.6 per cent pay hike for early-stage companies and start-ups. Well, not all of it came true, around the appraisal time, but many employees felt ‘satisfied’, if not ‘ too joyous’!
But, what should one expect in the days to come?
One of the ways to understand and draw some inference on how the recruitment industry should be panning out would be on the data available on immediate consumption & production patterns. The current demonetisation & liquidity shortage seems to be leaning towards the following cataclysmic pattern of
Consumption ↓→ Production ↓→ Employment ↓→ Growth ↓
While cash stringency will compel firms to reduce labour cost and thus reduce income to the poor working class, there will be a trickle-up effect of the liquidity chaos to the higher income people as well…..!!!
So, should you be looking for a new job? Should you be having a backup plan? Or, should you just stop talking about your next appraisal!!!
Guess, with all the ambiguity surrounding the market currently, the only advice is if you’re working in a Bank…….hang on!!!….