Shocking trend of Average Salary in India | Service vs Product Job | Tech vs Finance vs Civil Eng.

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In this video, I have compared the salaries of folks across the Technology Construction, and Finance Industries. These salary comparisons will help you understand where you stand within your industry and the wider market. These numbers will be concentrated around the average salary in India and not abroad. If we talk first about the Tech sector, you will notice that it can be divided into technology contracting or IT services companies like TCS and Infosys. The second is the Product companies like Amazon, Meta, and so on. In tech contracting or IT services companies, the average salary in India is between 22 to 36 Lacks but the salaries for similar roles in Product companies is between 40 to 80 Lacks. This difference is staggering.
In a contracting role, the time of the employee is sold. On the other hand, the product companies are not selling the time of their employees. They can keep profiteering from the sales of their products even while all their employees sleep. Because of this, the overall profits of the product company will be greater since there is no cap on the total sales unlike when you’re selling time. Salaries are also higher in the product companies. Next, we talk about salary jumps. Starting with 10 lacks salary you can expect your salary to increase up to 80 Lacks in the next 10 years. You can get a salary jump only if you go from one company to another. But jumping from one job to the next in a year very frequently will not look good on your resume.
The solution is that you should aim for your salary to double every 3-4 years. If this is not happening then it will be difficult for your salary to grow at a consistent pace. If you’re in your current company then aim for the salary hike to be at least 15% year on year. This report comes from Michael Page, a reputed name in the recruitment space. Also, you should know that I’m confident about these numbers because my wife got a similar offer recently from a service contractor company and the salary for a similar role in a product company was almost double. You should try to move from a service to a product company.
In the construction space, the salary starts with 8 to 10 lacks per year. Somebody with more than 25 years in the construction industry is earning between 35 to 40 Lacks. If you are in an industry that traditionally pays low compared to tech, then it is very unlikely that you will reach the same number as technology folks. However, there is a silver lining that in the 25-year mark the max salary is in the 3-4 Cr bracket for the top performers. But if you are in a position to switch, then my strong recommendation would be that you switch to the tech aspect of your industry.
Talking about the financial services industry we can see a very nice trend emerging here. If you are an actuarial practitioner then your salary will be between 5 to 10 lacks, if you are a private banking professional in domestic Indian banks then your salary will be 10-15 Lacks, if you work for an MNC then the salary will be between 10-20 Lacks and if you work for auditing companies like Delloite then your salary will be between 20-30 Lacks. For private equity and venture capital domestic firms, you can expect 20-30 lacks if it is a small firm. If these are big international funds then they will pay you a lot more, somewhere around 60 Lacks. You can do your best but a lot of what you can achieve will depend on your industry so choose wisely.
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About Me
I publish meaningful and valuable content on this channel. My aim is to make business news more accessible and easy to grasp. If you find my videos informative and insightful then make sure to subscribe and leave a comment. I’ll see you in the next video
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Chapters
0:00 - Intro
0:45 - Technology Salary
2:13 - Salary Jumps
3:26 - Construction Salary
4:58 - Financial Services
6:03 - Outro

[@shantanurao280]

Hello Pavan, Excellent analysis. Just to add about the construction sector. One of the fields in Construction Tech is called BIM. BIM professionals are probably earning 8-10 LPA starting salary. In India, there are close to 10 great MNCs that pay well, but except that the other companies face a lot of issues like salary delays, terrible work hours etc. Many BIM professionals fly to middle-east where job prospects are really high and the jobs are well paid. Other than that, every young professional in this field are running for MBA or any other field at the first opportunity they get.

[@drogonfly2659]

Yeah this is the reality !! I graduated in CIVIL engineering but luckly only AFTER 4 years of work ex in Civil + an MBA, was able to switch to the Technology sector. Even being a small fish in an ocean pays you more than being the biggest fish in a small pond.

[@sumit4yt7]

The salary is high in tech but only for highly competent engineers. Most of my collage friends and ex colleagues with 15+ yeas of experience working in product companies are earning 50+ LPA (in some cases over 1 CR). But they are working for companies like Microsoft, Google, Amazon, Uber, PayPal, Salesforce, Oracle OCI, LinkedIn, Atlassian, Visa and startups etc. where expectation for skills and competence is very high. Many of them started their career in service based companies with very low salary. Few people I know stayed back in same service based company and still earning 15-25 LPA even after 15+ years of experience. So you'll get different answers depending on whom you are asking.

[@TheAbirindia]

His video is not about individuals but a mean salary in the industry. The service industry is definitely paying more after the pandemic.

[@CCCP85]

Indeed worth knowing, but as we reach higher salary bracket of 30 and 45lakhs per anum growth comes down to 40% in 4-5 years...

[@bibekghatak5860]

I appreciate Mr Pavan's videos . Highly intellectual in nature .

[@honchoabhi]

Thank Very Much !

[@ritvikgupta8788]

Hi pavan, In TCS the starting salary is 3.3 lpa. I think this number is not completely accurate for the service based tech companies. And after 5 years also max it goes upto 10 lpa, that too if luckily one gets a 100 percent hike in between after giving some exam.

[@TheAbirindia]

It's not about an individual rather the median salary. People sitting in the same company definitely have less salary but in today's market the average package is definitely much higher in the service industry considering the switches people make.

[@nimbupaani6335]

Yes, I don't know where this guy got 22 LPA as minimum salary in IT service company.

[@nimbupaani6335]

@@TheAbirindia Even median salary is not 22 LPA

[@TheAbirindia]

@@nimbupaani6335 Which company do you work for? You need to check the salaries for laterals and not who are in the same company for their whole tenure

[@nimbupaani6335]

@@TheAbirindia I am talking about the entry salary, when a freshly graduate is entering IT, thats definitely not 22 LPA. I have 7+ yoe, lets not not talk about my pay.

[@vikastiwari6780]

In my opinion don't join service company. No growth and no learning

[@RaviShankar-it4dk]

Generally, learning is there in service based companies but all other points are Negative compared to product companies..A fresher can join a service company where he could get exposure to working on various different projects for several customers but to settle down, they should be in a good product company..

[@tharunkumarvk99]

Sending a little heartfelt appreciation your way today!. I expected further analysis like long term career in Tech vs Finance.

[@PavanSathiraju]

Will add that soon!

[@heshwar6243]

Hey Mr. Pavan, please do something like this for Manufacturing, Mechanical Design, Supply Chain Industries. Thank you in advance.

[@shubhamketkale9383]

Well want to know truth behind the saying.. In tech its usually the freshers are preferred as they have more skills and are cheap to hire.... But in Core sectors experience is preferred more.... So someone working in IT might face problem when he turns around 35 to 40 but same someone in core at 35 to 40 is more valuable..... So is this notion right?

[@starsinthesky593]

Exactly so true but everyone want it fast so that's the problem

[@AmanShariff]

Hi Pavan, Do you suggest people to change industry to Tech? like anyone ?

[@romitsadhwani6246]

What about the marketing sector? specifically FMCG compnies?

[@phanindra40]

Even in service sector also one can get 45 LPA after 10-15 yrs of exp now a days, but just that these ppl are the first one to be fired unlike in product companies.

[@saikirankalali9372]

Sir, I did chemical engineering and working as healthcare data analyst...please do on healthcare technology sir

[@himanshushah5594]

Hi, Saikiran can you please elaborate on your work profile. I am also working in the healthcare field. would love to connect with you.

[@saikirankalali9372]

@@himanshushah5594 I work as a Business Intelligence developer currently in Childrens hospital and develop dashboards in python and visualize in power Bi

[@LostSoul979]

Can you do similar videos for manufacturing industries? They have hikes only 5 to 8 percent.

[@rastapopolous8446]

construction n insurance folks can do own business like setup small time construction company but not tech folks..

[@Lehmann-345]

Hi Pavan I work at a startup that is developing global trade and supply chain solutions and I have a feeling that this industry is only going to become big given the current geopolitical situations (Trade wars, UK Russia conflict, supply chain disruption). But my Salary is 10 LPA with 3 years of experience. For the past one year I have been considering switching to Investment Banking domain. But My personal feeling about the current industry is giving me mixed feelings What do you think I should do.

[@Lehmann-345]

@Pavan I would appreciate your response

[@saiveeramalla5507]

Hi Pavan, Currently i work as Dataengineer , if i want to do PGPX in IIMA which is one year regular course how it would be and what are the career opportunities... i have been asking you in many videos.. can you plz give me the info? Most of people do regular MBA but not IIM PGPX , can you please help me on this?

[@ayon221]

Honestly every thing depend on market after mba there is nothing fixed..i think you will do well as data engineer there is no need for mba

[@ayon221]

See this mba guy is making you tube video and selling courses so for him mba is not working he is using it just as auxilary certifate to sell his cources

[@ankitvyas954]

I think doing PGPX from IIMA makes less sense instead look for international schools for MBA, In India you will get good salaries after it but as they say, Juice will not worth the squeeze.

[@tubing40s]

What's the bigger purpose of this video? Is salary the sole purpose of career?

[@PavanSathiraju]

Absolutely not the only purpose. But we all want to maximize the return for ourselves. Hence wanted to show the industry benchmarks. Hope you get a perspective on where you stand within the range

[@RakshithaHS-gt2hb]

​@@PavanSathirajusir where I'm a complete fresher I don't have any job expirience and also due to covid we didn't even face much challenges in our project how to answer experience based questions and case interviews how can I ace non it roles sir ! Please do address my query because it helps me a lot

[@mygaming6610]

Indian Corporates exploitation to educated Youths less salary and high working hours in India. Same Corporates high salary in abroad and less working hours.

[@navk4960]

what is construction tech?

[@nimbupaani6335]

Minecraft 😁