Until quite recently, Silicon Valley was the preferred destination for the best IT minds of India. The economic recession that led to severe cutbacks and layoffs in the America did not do too much damage to the growing Indian IT industry.
Last year, from the US alone, approximately 60,000 Indian professionals returned to India; most of them from the IT sector. This number is not significantly lower than the number of Indians leaving for better prospects in America every year. The opportunity for a better quality of life and availability of exciting new jobs in India are luring skilled professionals back to their native soil.
Brain Drain—the emigration of trained experts to developed countries like the US and UK—has been a cause of grave concern for India since the last two decades. According to the UNDP, emigration of computer experts alone costs India over $2 billion every year. The main reason for this mass migration of talented Indians was simple: jobs in India did not offer enough career growth opportunities or financial gain.
Apart from IT sector, India has seen steady growth in the Healthcare, Pharma & Biotech, Finance, Retail, and Real Estate in the last few years. This economic boom created lot of new jobs in India; a substantial portion of them in the IT segment. This resulted in the gradual fading of the attraction to America and many of the Indians working in the US are now increasingly eager to be a part of India’s technological revolution.
Nasscom’s predication that Indian IT industries could face a severe shortage of skilled IT workers by 2010 has come true up to a certain point. EMA Partners International’s survey shows that owing to the economic boom in certain sectors, Indian businesses are facing a serious talent crunch at top levels. As a result of this, even through the years of recession, the average salary hike in top Indian companies was 15%; substantially higher than the 5.5% in US or 8% in China.
The speedy growth of the IT sector has fuelled the need for experienced professionals, and the IT companies are ready to loosen their purse strings to acquire the best talent. Many organizations are prepared to pay as high as 80% of what the top level professionals are getting overseas, in addition to offering substantial perks and allowances. The promise of career growth and good pay, along with proximity to the family, are persuading several expats to leave their jobs in the developed countries and find jobs in India.
The low cost and quality services offered by India’s IT companies have encouraged giant organizations like Microsoft, Google, and Yahoo to outsource in India. This has created a large number of jobs in India’s IT sector. Consequently, Indian professionals with work experience in developed countries are in great demand—and many of them are more than happy to fulfill this demand.
It would not be entirely true to say that the Brain Drain phenomenon has come full circle, but the wheel has surely begun turning with India’s most talented professionals coming back to work in India. Those who had gone abroad in search for better lifestyle and growth opportunities are coming back and taking jobs in India for the same reasons: Better jobs and bigger opportunities.
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