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Welcome to the ROMANTIC brackets of { Vinuthan }

Tuesday, February 16, 2010

Labor Problems

I had to take my mom to my cousin's house. After dropping her, was wondering how to travel back home..... I was travelling in auto in recent times and was just enjoying the luxury. This time around decided to travel in Bus...I should say after long time i was travelling in local bus.....

During the travel, when the bus conductor asked to me take the ticket, gave Rs 9 and took a ticket. My mind now went towards the amount i saved. i saved around Rs 90 and lost around 45 min and some energy. All the 3 components mentioned are one of the most critical things in the years ahead. 

Well, my started to think about the sentence "Value of money". My heart just begin's to beat faster....why?? Is there any value for money.....

India, with a population of billion, truly can easily find labors. Well is this really true....well i certainly not.... Our company is wanting a data warehouse resource for quite some time now...and i have been pestered by the HR team to take interviews....sadly and truly we have not found a resource in last 6 months...Why...either the people are good in knowledge or the pay asked is too much for the company...

Let me put my concerns on the second part now.....It is appraisal time now...the market's showing recovery and the tiger's in den are coming out aggressively...the problem is all believe that they are tiger's...the fact is there are few tiger's and more cat's....but the hunter's are thinking to take all cat's and make them tiger's.....what i mean to tell is everyone in the company is asking for a hike....companies are giving a hike of 10-20%...but people are expecting 30%.....Junior's with 2-3 years are asking for 7 to 8 lack...people are becoming manager's in 3-4 years....I appreciate that certain people may be good, but i am not sure whether all are of same level.....I kinda of feel, that it is creating an imbalance in more than 1 way....it is just making people greedier.....and what is the upper limit....It is just creating a bubble that will break one fine day.......

The Math: Rs 100 (project earnings) - Salary to Employee=Profit (rs earlier 30, is 60 now): The margin on profit is reducing as time goes.....

Suddenly i am feeling that i should call my friend, who is an enterprenour to just check out what is happening. to my dismay....he is sad....just asked him "May i know why"...his answer was...dude there is a huge labor problem....people who are taking rs 150/day is now asking Rs 300/day. Under pressure i am ready to pay, but even then they are not working properly....they want to earn easy money and earn more....Government has come up with some policies and benefits....where in even if they work for a day, they get the benefit for entire month...so people work there for a day there and then take rest....

WOW.....the problem seems to be more than what i really think of.....So are we guys kind of contributing this to the imbalance....i truly feel yes.......

The organized sector labor are less in percent than the unorganized sector.....the organized sector people generally gets well paid and naturally when so, will have a spending more....
what is now happening is that the % in organized sector is increasing and naturally the spending is more,  which is having a repelling effect in unorganized sector's labor..........

Inflation is high, Profit Margin is less, People are not willing to put the hard work, wages are more, people with required skill set is tough to find.....and more than all Greediness is increasing to rocket high....

I am sure the CEO's of all companies will have to step up and put a benchmark.....and make people less greedy.......I am sure this bubble will bust some day.....

And of course Not all are tiger's....most are cat's................Cats can never become tiger's...

And above all i am an employee (not a CEO :) ) just like you......

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