Major failure on the part of HR Professionals, which has resulted in exhorbitant salaries offered to certain sections of the employees. This has caused vacuum in other areas, where again the salaries had to be matched to bring the talents. The rat race in this scenario had resulted in the surplus funds with the employees; on the other side, the overheads have increased for the manufacturers / traders et al resulting in forced increase in the prices of the commodities. Certain sections of the society have taken advantage of this situation, and had resorted to their usual black-marketing, hoarding and arm-twisting tactics, all these will continue till the elections as these people are part of the Ruling Groups. The middle / lower middle and poor will have to suffer on one side, and for the people at the higher levels, they do not bother about this inflation as they are always compensated for all the increases by their employers. Even the Government has given substantial increase to the Government employees from the tax-payers money, whereas people working at the un-organised sector are suffering because of the price-increases. They are not able to demand and get the salary increases for all the cost increases; similarly, their employers are also not as generous as MNCs or Software giants or the Government, as they cannot pass on the increase to others because of the competition in the market.
RE:INFLATION
by Attah Basheer on Apr 11, 2008 02:41 PM Permalink
WELL SAID! Apart from the demand pull inflation caused by acelerated growth in salaries in some sectors, the other noticeable feature is the breakup of overhead expenses in industries (300% increase in ad expenses) This is coupled with a weak executive and a general abhorence for following the rule of the law has led to a situation where the decision makers are far removed from the ground level reality.
RE:INFLATION
by raj on Apr 11, 2008 06:34 PM Permalink
yes, there's is an un-natural growth in certain sectors, thats putting pressures in many other sectors. glad that yu are raising a valid point!
