#Lockdown: This Indian Company Is Giving 20% Salary Hike For All; Hiring Increased!
From startups to large multinationals, the fear of job loss and pay cuts looms over the people of the nation
Last month, BharatPe entered the e-groceries market. The merchant payments platform, BharatPe is talking appraisals with its employees and also giving pay raises.
Read to find out more…
What is the Fuss About?
In recent times, the Indian companies are either letting go of their employees or introducing pay cuts to survive the COVID-19 Pandemic lockdown.
Ashneer Grover, CEO and cofounder of BharatPe said in an interview with Business Insider that forgoing salaries and pay cuts for senior team management seems like a ‘good PR’, but on a personal level, Grover does not believe in that. He termed the voluntary salary deductions in many other startups as new ‘fashion’.
Grover also highlighted that BharatPe closed its appraisal process earlier this week, and employees have received a 20% hike on average. In addition he said, “To me it’s like cycles will come and go, but can you keep your sanity and be ready to build a bigger business.”
The company has also planned to start recruiting and double down on its merchant network once the lockdown is over. The company is anticipating a hike in its loans more and more people will apply for loans as their businesses will have been impacted by coronavirus .
As Grover pointed out taking the other route than several other startups as it approaches salary hike, new hiring and the upcoming business opportunities, there are several other startups that are going the other way.
How Are Other Companies Dealing With the Coronavirus Lockdown Impact?
Hospitality giant OYO has informed that thousands of employees in America and other markets will be asked to opt for temporary unpaid leave for a period of 3 months. OYO founder, Ritesh Agarwal has also announced he will take a 100% pay cut from his salary for the rest of the year as the revenues dropped by 60%. The firm is also resorting to pay cuts at the top tier.
Treebo has asked a few staff members to voluntarily resign, whereas the founders Sidharth Gupta, Rahul Chaudhary, and Kadam Jeet Jain have given up on their salaries as well.
MakeMyTrip has slashed salaries of up to 50 senior employees whereas Ixigo has also cut compensation across all levels. The startup founders including Aloke Bajpai of Ixigo and Deep Kalra of MakeMyTrip took a 100% cut from their salaries.
TravelTriangle has also executed layoffs to counter the challenges amid the lockdown. Even founders of other eminent startups like Paytm, Ola and Swiggy have foregone their salaries in order to donate to several funds.
Other prominent lending startups like IndiaLends and Creditmate have resorted to salary deductions as they are anticipating a steep decline in their revenues, especially after RBI directive of three-month moratorium on term loans. IndiaLends have offered unpaid leaves to few of its employees, while others have been subjected to a pay cut ranging from 20% to 50% on the basis of their fixed monthly salary.
A Digital insurance company, Acko has laid off about 50 employees and slashed salaries across their senior level. Varun Dua, the founder of Acko took a 100% cut from his salaries.