Entry-level salaries for fresh engineers at Infosys and Tata Consultancy Services (TCS) have remained unchanged at Rs. 3–4 lakh per annum for more than ten years, with the majority of new hires still receiving packages within this bracket, Economic Times reports. This stagnation stands in contrast to a nearly 50 percent rise in inflation since 2007–08, eroding the real incomes of IT freshers and impacting their financial prospects.
Industry observers note that, in the same period, salaries for top executives at these firms have climbed by as much as 50–60 percent, while hikes in starting pay for junior employees have been minor and infrequent, typically ranging from 8–12 percent only during periods of peak demand. Offers above this band—such as digital skill roles or placements at premier institutes—remain rare exceptions.
Amid this trend, average annual earnings for qualified plumbers in India now range from Rs. 2.5 lakh to above Rs. 5.5 lakh, depending on experience and location, with some experienced plumbers earning up to Rs. 9 lakh per year—putting parts of the profession on par with, or ahead of, what India’s top IT services firms pay their fresh recruits.
The persistent salary stagnation has contributed to higher attrition, as sought-after graduates seek roles in multinationals and tech startups that offer not only more competitive pay but also faster career progression. Both analysts and sector employees are urging a review of entry-level IT pay structures to reflect market realities and address growing wage disparity.
While specialised digital roles or positions for graduates from top engineering institutes have attracted higher initial packages—up to Rs. 10 lakh per annum—these instances account for a small fraction of total entry-level hires. The vast majority of recruits continue to receive standard offers, regardless of cost-of-living pressures.
Without meaningful upward revision in fresher salaries, experts warn, Infosys, TCS and peers could risk losing their ability to attract and retain new talent critical for future growth.
