Hello,
I am working as an HR Executive in an IT company. There is a question that has arisen in my mind related to CTC (Cost to the Company). I want to ask, what is the basic difference between Indian CTC and Foreign CTC? Can anyone help me out?
Thanks
From India, Mumbai
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I am working as an HR Executive in an IT company. There is a question that has arisen in my mind related to CTC (Cost to the Company). I want to ask, what is the basic difference between Indian CTC and Foreign CTC? Can anyone help me out?
Thanks
From India, Mumbai
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Hi Rini,
Though I cannot understand the reason or motive behind such a question, I would like to mention - CTC, as you are aware, is the cost to the company. Since you are in HR, you might be aware of various components that are included in the CTC and also that most of the components arise from the statutory compliance of that particular country or region. So, how can we compare the CTC of two different countries, knowing that the statutory compliance differs tremendously.
From India, Mumbai
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742Though I cannot understand the reason or motive behind such a question, I would like to mention - CTC, as you are aware, is the cost to the company. Since you are in HR, you might be aware of various components that are included in the CTC and also that most of the components arise from the statutory compliance of that particular country or region. So, how can we compare the CTC of two different countries, knowing that the statutory compliance differs tremendously.
From India, Mumbai
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Dear Rini,
In addition to what Ankita has shared, the salaries differ in terms of structure and value. The differentials are way too high, hence please discount the currency of the country. Education and certifications are differently valued. Hence, the pay philosophy changes. Most of the jobs are contractual. The benefits and retirals are significantly different.
You can easily find a direct comparison to salaries on Payscale.
Wish to discuss the differences in the data you find. Thank you once again!
From India, Mumbai
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In addition to what Ankita has shared, the salaries differ in terms of structure and value. The differentials are way too high, hence please discount the currency of the country. Education and certifications are differently valued. Hence, the pay philosophy changes. Most of the jobs are contractual. The benefits and retirals are significantly different.
You can easily find a direct comparison to salaries on Payscale.
Wish to discuss the differences in the data you find. Thank you once again!
From India, Mumbai
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Dear Rini, Both Ankita and (Cite Contribution) are quite right. Though I cannot add to their comments. I would like to ask what prompted this thought? Regards, Harsh.
From United Kingdom, Barrow
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From United Kingdom, Barrow
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Hello Rini,
I am with (Cite Contribution) & Ankita Shah in believing that one learns ONLY by asking or enquiring. There's no other way out for anyone, including myself.
And in fact, the BEST time for learning by enquiring IS NOW, especially when you are still early in your career. Once you gain experience, typical human psychology tends to impose limitations on people in terms of being open to learning, due to a sort of 'what will they think of me' syndrome or mentality.
Now, regarding your question about Indian and Foreign CTCs, please note that the concept or practice of "CTC" is prevalent in very few countries, including India. Most countries follow a different salary concept - focusing on 'What's my In-hand?'. Apart from the factors mentioned by other members such as exchange rates, cultural differences, etc., the general human psychology in those countries is more focused on the present rather than the future (which is one reason why families in the West may face financial difficulties during recession periods).
For example, in the USA, if an employee is hired at US$40K per annum, in addition to the salary, the legal practice is to include the 401k Plan amount in the employee's salary, with the employer matching that amount - similar to PF in India (for retirement planning and emergencies). Additionally, most employers provide medical insurance payouts. However, when asked about a person's salary, the figure given is usually 40K per annum, with the other benefits being 'taken for granted'.
In summary, this would be the essence of the answer to your question.
I hope this information is helpful.
Regards,
TS
From India, Hyderabad
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I am with (Cite Contribution) & Ankita Shah in believing that one learns ONLY by asking or enquiring. There's no other way out for anyone, including myself.
And in fact, the BEST time for learning by enquiring IS NOW, especially when you are still early in your career. Once you gain experience, typical human psychology tends to impose limitations on people in terms of being open to learning, due to a sort of 'what will they think of me' syndrome or mentality.
Now, regarding your question about Indian and Foreign CTCs, please note that the concept or practice of "CTC" is prevalent in very few countries, including India. Most countries follow a different salary concept - focusing on 'What's my In-hand?'. Apart from the factors mentioned by other members such as exchange rates, cultural differences, etc., the general human psychology in those countries is more focused on the present rather than the future (which is one reason why families in the West may face financial difficulties during recession periods).
For example, in the USA, if an employee is hired at US$40K per annum, in addition to the salary, the legal practice is to include the 401k Plan amount in the employee's salary, with the employer matching that amount - similar to PF in India (for retirement planning and emergencies). Additionally, most employers provide medical insurance payouts. However, when asked about a person's salary, the figure given is usually 40K per annum, with the other benefits being 'taken for granted'.
In summary, this would be the essence of the answer to your question.
I hope this information is helpful.
Regards,
TS
From India, Hyderabad
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Hey all. Thanks...I will be back with many more questions.Your experience,advices, feedback and valuable suggestions would be a great help to me. Thanks&Regards Rini
From India, Mumbai
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From India, Mumbai
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Hey all, Can anybody help me out with a form wherein the employee undertakes that he will ensure that he would reach office on time and if not, his salary would be deducted.
From India, Mumbai
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From India, Mumbai
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Hi Rini,
We cannot introduce such a form (I think so). What you can do is introduce in your Workplace policy:
The office timings are from [START TIME] to [END TIME]. There will be a grace period of 15 minutes after [START TIME]. A person would be allowed to come late only two times in a month. Starting from the third late mark, a half-day would be deducted. Latecomers would be penalized by paying only half a day's salary for such late days. If a person is a habituated latecomer, the company has the right to initiate disciplinary action against the said person.
Thereafter, also introduce a Declaration form that states:
"I have read and understood the company's policies and procedures and agree to abide by them. I also understand that the company has the right to amend, modify, or introduce any policy at any point."
Take signatures from all the employees.
Hope it helped :-)
From India, Mumbai
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We cannot introduce such a form (I think so). What you can do is introduce in your Workplace policy:
The office timings are from [START TIME] to [END TIME]. There will be a grace period of 15 minutes after [START TIME]. A person would be allowed to come late only two times in a month. Starting from the third late mark, a half-day would be deducted. Latecomers would be penalized by paying only half a day's salary for such late days. If a person is a habituated latecomer, the company has the right to initiate disciplinary action against the said person.
Thereafter, also introduce a Declaration form that states:
"I have read and understood the company's policies and procedures and agree to abide by them. I also understand that the company has the right to amend, modify, or introduce any policy at any point."
Take signatures from all the employees.
Hope it helped :-)
From India, Mumbai
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Hello Rini,
Ankita Shah is correct. However, when you formulate the Workplace Policy & circulate it among the employees for their formal acceptance (in the format mentioned by Ankita Shah or a similar one), please be prepared for a query from at least some of the employees: 'There's a grace period for the start time - but what about the end time?' Please have an answer ready for this situation.
Hope you understand the point.
All the best.
Regards,
TS
From India, Hyderabad
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Ankita Shah is correct. However, when you formulate the Workplace Policy & circulate it among the employees for their formal acceptance (in the format mentioned by Ankita Shah or a similar one), please be prepared for a query from at least some of the employees: 'There's a grace period for the start time - but what about the end time?' Please have an answer ready for this situation.
Hope you understand the point.
All the best.
Regards,
TS
From India, Hyderabad
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CTC Comparison 5 Lacs (Current & Proposed).xls