It is not just large banks and IT firms that are tapping into India’s technology talent pool. Over the past year or so, a growing number of small American and European product companies have started moving technology development work to India, as they face a battle for talent competing with large companies in their home markets.
Software as a Service (SaaS) firm Quolum, which started operations earlier this year, has hired three people in India out of its four-member tech team.
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“Over the last seven to eight months, we have seen a lot of product companies move tech teams to India to leverage the cost arbitrage. These companies have proven business models and find it easy to attract talent by paying 1.3-1.5 times the prevailing salaries in India,” said Joseph Devasia, MD, Antal India, an executive recruitment firm.
Paying a marginally higher salary is not an issue for foreign firms as it is still one-fifth of what they would have to pay in their home markets.
Source: Economic Times
