Dear all,
I would like to add to the discussion with this...
If the only concern is about lesser basic pay, but having good ctc, i think it's designed to save tax by routing your money under non-taxable allowances...
However, if you mean to say lesser gross, there can be many reasons -
1. Start-ups or mid-developed firms don't understand the importance of HR
2. It would also depend on the qualification, I have seen many B.Com handling HR (no offense but they can't expect to get paid at par with MBAs)
3. Skills that you bring onboard (Just having degrees don't help. Just scoring 90% marks don't help. I personally know of cases where because of exceptionally well CV and good marks, the person was hired at X ctc however on joining when the company realised the person lacks significant skills, the ctc was lowered to Y. and this is an MNC)
We do demand, we do compare the average salary, but we fail to compare the skills required for that position, the qualification, experience level of people in that position on average.
We go on asking people what is your salary failing to address other concerns.
I know MBAs being underpaid where as plain graduates (who have just passed) being paid higher - and yes there's a little tweak to it. Usually private firms do have what most corparates practice - salary mapping where they have same or similar salaries for people at similar positions.