On 3/23/07, Badri Natarajan <[EMAIL PROTECTED]> wrote:

>> Surely last year's MBAs will have seen a salary hike so that they are
>> not
>> making less than people a year below them? And more responsibility as
>> well?
>
> Show me a company that will be that fair...it's usually a 10-20%
> increase once you are collared.

I think it depends a lot on how the company hires. For companies that do a
lot of hiring of fresh graduates who progress in a structured way (law
firms, consulting firms, even Infosys for its programmers), I don't see
how they can have a salary structure where the junior person is earning
more than the senior person - it's just a recipe for tension and all kinds
of craziness. I have literally never heard of it happening in that kind of
situation.

This is SOP in software companies. In many software companies you can
get fired if you discuss your salary with a colleague. Why? Because
people are hired at a 20-30% increment over their previous jobs and
then given a 10% hike. Fresh grads are hired at prevailing market
rates. So what people are paid have very little relation to what job
they do. I have often managed people who were making more money than I
did.

I suppose in larger organisations there are defined pay-grades, but I
have never worked in one.

-- b

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