Comments on: Over-compensated to death http://www.rajeshsetty.com/2006/08/25/over-compensated-to-death/ Entrepreneur. Author. Speaker & Alchemist Thu, 02 Feb 2012 03:43:00 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Rajesh Setty http://www.rajeshsetty.com/2006/08/25/over-compensated-to-death/comment-page-1/#comment-740 Rajesh Setty Sat, 02 Jan 2010 08:35:20 +0000 http://www.blog.lifebeyondcode.com/2006/08/25/over-compensated-to-death/#comment-740 Anand, Having lived in a few countries, I can say that the catch-22 situation exists almost everywhere. All that it takes is to be slightly "over-compensated" in the near-term and you can get into a serious mess in the long-term. Wish you the very best with your situation. Noticing this problem is the start of solving it. Good luck. Best, Rajesh Anand,

Having lived in a few countries, I can say that the catch-22 situation exists almost everywhere. All that it takes is to be slightly “over-compensated” in the near-term and you can get into a serious mess in the long-term.

Wish you the very best with your situation.

Noticing this problem is the start of solving it.

Good luck.

Best,
Rajesh

]]> By: Anand Bajaj http://www.rajeshsetty.com/2006/08/25/over-compensated-to-death/comment-page-1/#comment-739 Anand Bajaj Sat, 02 Jan 2010 08:32:29 +0000 http://www.blog.lifebeyondcode.com/2006/08/25/over-compensated-to-death/#comment-739 Dear Setty, Its beginning of a new year, and this post holds its message strong in this decade as well. Such situation exists more in Gulf region. All those who come here to make quick buck for short span end up merely living for their life time. Well, I am one of those victims of Gulf Virus and start to realize the effect of Over Compensation. I find myself in catch-22 situation and hope to get away while maintaining balance. Dear Setty,

Its beginning of a new year, and this post holds its message strong in this decade as well. Such situation exists more in Gulf region. All those who come here to make quick buck for short span end up merely living for their life time.

Well, I am one of those victims of Gulf Virus and start to realize the effect of Over Compensation. I find myself in catch-22 situation and hope to get away while maintaining balance.

]]> By: Anonymous http://www.rajeshsetty.com/2006/08/25/over-compensated-to-death/comment-page-1/#comment-738 Anonymous Wed, 06 Sep 2006 06:59:47 +0000 http://www.blog.lifebeyondcode.com/2006/08/25/over-compensated-to-death/#comment-738 How about subduing the passions themselves? ;) How about subduing the passions themselves? ;)

]]> By: Anonymous http://www.rajeshsetty.com/2006/08/25/over-compensated-to-death/comment-page-1/#comment-737 Anonymous Sat, 02 Sep 2006 06:36:22 +0000 http://www.blog.lifebeyondcode.com/2006/08/25/over-compensated-to-death/#comment-737 Rajesh, Compensation of an employee is based upon several factors. This includes attributes of the employee such as merit that encompasses education, experience, talent, ability to execute and the potential to perform. However there are environmental factors that also determine compensation, such as market forces and competition in an industry that establishes the “value” of an individual to an organization. When a change happens in an industry, the same market forces, that overcompensated the individual will realign to competitive pressures and readjust the compensation – more so to ensure its own success or survival amidst competitive pressures. Look at what happened to shop floor workers of the developed world. This is exactly what led to outsourcing to countries with lesser labor or production costs such as China and India. In such a situation, the overcompensated individual is forced to change. The consequence of such a change can be usually good for the employee forcing them to enhance their skills and seek opportunities to maintain their levels of compensations or even enhance their levels of compensation. On the flip side if they do not accept the change, they may be doomed to accept lower salaries, much like companies that are forced to adopt change to continue being profitable or perish if they do not because of competitive pressures. -Sethu Rajesh,
Compensation of an employee is based upon several factors. This includes attributes of the employee such as merit that encompasses education, experience, talent, ability to execute and the potential to perform. However there are environmental factors that also determine compensation, such as market forces and competition in an industry that establishes the “value” of an individual to an organization. When a change happens in an industry, the same market forces, that overcompensated the individual will realign to competitive pressures and readjust the compensation – more so to ensure its own success or survival amidst competitive pressures. Look at what happened to shop floor workers of the developed world. This is exactly what led to outsourcing to countries with lesser labor or production costs such as China and India. In such a situation, the overcompensated individual is forced to change. The consequence of such a change can be usually good for the employee forcing them to enhance their skills and seek opportunities to maintain their levels of compensations or even enhance their levels of compensation. On the flip side if they do not accept the change, they may be doomed to accept lower salaries, much like companies that are forced to adopt change to continue being profitable or perish if they do not because of competitive pressures.
-Sethu

]]> By: Anonymous http://www.rajeshsetty.com/2006/08/25/over-compensated-to-death/comment-page-1/#comment-736 Anonymous Thu, 31 Aug 2006 01:26:31 +0000 http://www.blog.lifebeyondcode.com/2006/08/25/over-compensated-to-death/#comment-736 Is there a number where i can reach you while you are in bangalore? Is there a number where i can reach you while you are in bangalore?

]]> By: Anonymous http://www.rajeshsetty.com/2006/08/25/over-compensated-to-death/comment-page-1/#comment-735 Anonymous Mon, 28 Aug 2006 14:49:58 +0000 http://www.blog.lifebeyondcode.com/2006/08/25/over-compensated-to-death/#comment-735 This was true of even the Silicon Valley during the boom days, when grads walked out with 3 offer letters, had no experience. The lesson we can quickly learn in India is how the U.S. market is still recovering from the bust days: Ivy League grads were left without jobs and the market re-adjusted their salaries to experience in blazing speed. But of course, experience is always the best teacher. While India could gain to be the most prominent player in the IT services field, we have a long way to go... and short-sighted issues like high salaries for the wrong reasons, losing focus on the customers' customers, and putting ego before execution are sure roads to self-destruction. You raise a valid point, Rajesh. This was true of even the Silicon Valley during the boom days, when grads walked out with 3 offer letters, had no experience. The lesson we can quickly learn in India is how the U.S. market is still recovering from the bust days: Ivy League grads were left without jobs and the market re-adjusted their salaries to experience in blazing speed.
But of course, experience is always the best teacher. While India could gain to be the most prominent player in the IT services field, we have a long way to go… and short-sighted issues like high salaries for the wrong reasons, losing focus on the customers’ customers, and putting ego before execution are sure roads to self-destruction.
You raise a valid point, Rajesh.

]]> By: Anonymous http://www.rajeshsetty.com/2006/08/25/over-compensated-to-death/comment-page-1/#comment-734 Anonymous Mon, 28 Aug 2006 06:20:44 +0000 http://www.blog.lifebeyondcode.com/2006/08/25/over-compensated-to-death/#comment-734 I totally agree with you Rajesh. Thanks for that perspective. A lot of people say that money is not that important. But when push comes to shove, most of the time one would choose the better paying, less challenging job. I believe the issue is more than meets the eye. (1) We live in a society of instant gratification. Fast food, instant weight loss, automatic this & that, etc. A shorcut is not necessarily good all the time. (2) Most people measure success by how much money one earns, sometimes even when not deserved. Our world has become too commercial, for my liking. (3) We have forgotten about the simple pleasures in life, particularly those that we don't need to spend a single cent. Thanks for such a great post! I totally agree with you Rajesh.
Thanks for that perspective. A lot of people say that money is not that important. But when push comes to shove, most of the time one would choose the better paying, less challenging job.
I believe the issue is more than meets the eye.
(1) We live in a society of instant gratification. Fast food, instant weight loss, automatic this & that, etc. A shorcut is not necessarily good all the time.
(2) Most people measure success by how much money one earns, sometimes even when not deserved. Our world has become too commercial, for my liking.
(3) We have forgotten about the simple pleasures in life, particularly those that we don’t need to spend a single cent.
Thanks for such a great post!

]]> By: Anonymous http://www.rajeshsetty.com/2006/08/25/over-compensated-to-death/comment-page-1/#comment-733 Anonymous Sun, 27 Aug 2006 23:36:59 +0000 http://www.blog.lifebeyondcode.com/2006/08/25/over-compensated-to-death/#comment-733 That is a very good point Sudaakeran. I have met a few people who are currently working at a call center but using the extra money to further their studies and later hope to get a better job. So that is definitely a possibility. However, as you rightly said, I am sure the folks that will put in that kind of discipline will be a minority. Best, Rajesh That is a very good point Sudaakeran. I have met a few people who are currently working at a call center but using the extra money to further their studies and later hope to get a better job. So that is definitely a possibility.
However, as you rightly said, I am sure the folks that will put in that kind of discipline will be a minority.
Best,
Rajesh

]]> By: Anonymous http://www.rajeshsetty.com/2006/08/25/over-compensated-to-death/comment-page-1/#comment-732 Anonymous Sun, 27 Aug 2006 18:00:22 +0000 http://www.blog.lifebeyondcode.com/2006/08/25/over-compensated-to-death/#comment-732 I think about this in two ways (1) These highly paid jobs can act as a barrier to entry to pursue your passion in the life as described in the post (2) If you use it correctly, learn and save, it removes the barrier to entry to pursue your passion. But I agree that the percentage of candidates in (2) is very less. I think about this in two ways (1) These highly paid jobs can act as a barrier to entry to pursue your passion in the life as described in the post (2) If you use it correctly, learn and save, it removes the barrier to entry to pursue your passion. But I agree that the percentage of candidates in (2) is very less.

]]> By: Anonymous http://www.rajeshsetty.com/2006/08/25/over-compensated-to-death/comment-page-1/#comment-731 Anonymous Sun, 27 Aug 2006 11:51:10 +0000 http://www.blog.lifebeyondcode.com/2006/08/25/over-compensated-to-death/#comment-731 Manisha, David, Karthik, Rajaguru and Nagesh and all those who sent me emails on this topic (Unfortunately I am not able to respond to emails individually while I am in India - traveling extensively to meet people - hence spotty on my blog) Thank you for all your comments. As I spend more time in Bangalore and reading all of your emails the problem is more complicated than I originally outlined. Not only there is over-compensation problem, there is also a problem of pre-mature promotions to hang on to talent. Hopefully we will come out of it unscathed. But I doubt it. Best, Raj Manisha, David, Karthik, Rajaguru and Nagesh and all those who sent me emails on this topic
(Unfortunately I am not able to respond to emails individually while I am in India – traveling extensively to meet people – hence spotty on my blog)
Thank you for all your comments. As I spend more time in Bangalore and reading all of your emails the problem is more complicated than I originally outlined. Not only there is over-compensation problem, there is also a problem of pre-mature promotions to hang on to talent. Hopefully we will come out of it unscathed. But I doubt it.
Best,
Raj

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