There is nothing wrong in exercising such an option when the Company is feeling that their payroll is becoming bigger when the margins are deteriorating. As a matter of fact, the inefficient HR professionals had opted for very high salaries for the software professionals, on the pretext of retaining the talents; there are various ways to retain the talents, arrest attritions and develop loyalty and involvement of the staff in the organisations. The present step of TCS will encourage other software cos also to resort to such an action, which will bring the salary structures to reasonable level. This will encourage employees to move to other professions also, resulting in an overall development of salaries for all types of professionals, which will have a better future for India.
