Tarun Reflex

September 14, 2008

TCS vs INFOSYS | An Honest Comparison


TATA CONSULTANCY SERVICES

Experience Certainty.
“This is something that our clients already know; now we are letting the Cat out of the Bag”
Vision: “To be Global Top 10 by 2010″

INFOSYS TECHNOLOGIES LTD

Win the Flat World.
“The competition has been leveled, the world is flat”

These are the two leading Indian IT companies that are set to lead the IT world globally. Both are basically “Computer Services Companies” even though they have their own Products like “Infy Finacle” and “TCS Quartz”.

Even though they compete in the same area, Even though they have many common clients,
Even though they do a lot of similar work, these two are totally different in the way they work, their policies, the way they see the clients/employees, the way they handle projects.

TCS is a 39 year old $4 billion company compared to Infosys which is 25 year old $3 billion company. Let’s compare from two perspectives: 

 
1) Customer
2) Employee

1) Customer
As a Customer to these two companies, you won’t find much differences. Both deliver things on time, both deliver code of same quality etc. But TCS may be a bit cheaper than Infosys, but latter may guarantee more quality for that price.

2) Employee
As an Employee, one can see a lot of differences.

1) Work Pressure
This is the first and foremost thing an employee looks for. Here obviously TCS scores. You will rarely see people slogging in TCS whereas there is no Infy without Slogging. Of course this difference to certain extent comes from some extra quality things that are done at Infy, but still TCS do not mind saying “No” when it’s difficult. Infy manager rarely has the world “No” in their dictionary.

Note: No matter what facilities a company provides, if the workload is high, your life will be miserable.

2) Remuneration
Infy have a well defined compensation policy. They have increments every year and everything follows proper process. At the end, TCS guy too have the same salary, but there are no processes as such. One good thing about TCS is their Variable pay is less compared to infy i.e. TCS gives what they promises but Infy may not.

Infosys is a company that loves to make Employees pay tax. In a way, Infy is more patriotic.
TCS is more practical and loves to be in the side of employees.

3) Infrastructure
Well, this point, don’t even think of comparing. They are miles apart. Infosys has world class facilities which only a few companies can boast of. TCS infrastructure is pathetic say even it is Buildings, Computers, Internet, Transport or Food courts. Computers @ TCS are generations behind.

4) Security
Too much security” is an apt phrase for TCS. It is good from customer point of view, but very very bad from an Employee point of view. You need to get lot of permissions to login to a system and need a lot of access to make it working. Half your life will go in TCS raising tickets or you will become too lazy that you will stop using some of the facilities instead of raising tickets. Life is so much better at Infy where things are “Hare paced’ not “Tortoise paced” like TCS processes.

5) Work Culture
Infy has a lot of team building activities, cultural programs etc from the HR side where as a TCS guy will see an HR only when he is in bench. But sometimes the Infy activities end up treating a lot of pressure which finally ends up in dissatisfaction which was actually intented Employee satisfaction. But Infy do score here.

6) Ethics
Infy is really a company with a conscience. It is very transparent and manages things in a beautiful way. It is indeed the “BEST MANAGED COMPANY”. TCS has to go a long way in this to achieve this level of Transparency even though they are trying.

7) Initiatives
There are a lot of initiatives that happens in Infy like for example “The Ozone initiative”. It aims at reducing the paper usage. Infy will never use paper unless it’s very necessary. “Online” rules Infy.

In TCS, one can see paper paper every where. Even for a survey, they don’t have a proper “Survey” tool, which in turn leads them to the Manual paper survey which not only leads to inefficiency but also it wastes lot of paper, which in turn wood, which in turn trees, which in turns harms the Nature.

Btw, sometimes i do prefer certain things in Paper.

Then there are very active Bulletin Boards, Writer’s Forums etc in Infy which you will never find in any another company.

8) Brand Name
Infy shows the ordinary things as Extra ordinary. That is their way of Branding while TCS was not bothered about branding till now as they had a strong Backbone from “TATA”. Now they have realized the importance of branding and they have started a good campaign for better branding.

9) Code Quality Vs Documentation
Code Quality is the keyword of TCS while Infy will bore people with the word “Documentation”. Even though the word “Documentation” is boring, it is very important in the long run.

10) Average Age
Average age of employees in Infy is much less than that of TCS. TCS runs mainly with Experienced people where as Infy is a “Fresher” driven company making it more like college.

11) Processes
Too many Processes spoil the Code. This happens only in Infy.

Each company has its Prons and Cons. It’s the Employee who should decide what they want.

September 13, 2008

Six Pay Commission | Judge’s Salary set to go up Three-Fold

After the recent hikes in salaries and perks of Central Government staff as per the recommendations of the Sixth Pay Commission, the Centre is set to clear a proposal of the higher judiciary for a three-fold raise in salary and perks to the Chief Justice of India, Supreme Court judges as well as to the Chief Justices and judges of High Courts.

If the move gets the approval of the Parliament — salaries of higher judiciary are governed by Acts of Parliament — the CJI’s monthly salary with go up from Rs 33,000 to Rs 1.10 lakh while that of his brother-judges and CJs of High Courts will increase to Rs 1 lakh from the present 30,000. Sitting judges of the HCs will get Rs 90,000 as against the present Rs 26,000.

Such a raise is what was recommended by a three-judge panel set up by the Chief Justice of India and comprising Justices Ashok Bhan and Justice Altamas Kabir of the Supreme Court and Madras High Court Chief Justice A P Shah.

In its report to the CJI, the committee said: “In deciding the salaries of judges we should take into account not only the cost of living but also the earnings by members of the Bar, so as to appoint competent judges with impeccable integrity…Judges in our country are highly underpaid as compared not only to compensation paid to judges in other countries but also to the income of a averagely-successful lawyer”.

September 7, 2008

Sixth Central Pay Commission | IT (Income Tax) officials appeal to Manmohan on pay anomalies

Unhappy with modified Sixth Pay Commission award, taxmen have pointed out discrepancies in the revised pay scale and have sought Prime Minister Manmohan Singh’s intervention in the matter. 
Pointing out the discrepancies in the revised pay scale, income tax officials said when compared with their counterparts in some other departments, it amounted to virtually “lowering of status” of senior revenue officials. 

“We are shocked at the decision of the government to ignore recommendations of the Pay Commission to upgrade the pay scale of members of CBDT to Rs 80,000 (fixed), even though the pay scales of Directors General of Police and Principal Chief Conservators of Forests have been upgraded without any recommendation,” said a memorandum submitted by the Indian Revenue Service Association.

September 3, 2008

Six Pay Commision |Government to tax entire salary arrears | 100% this year

For 5.5m government staff looking forward to take home the 40% of the accumulated arrears on their increased salary next month, in time for some festive spending on Diwali and Eid, here’s a sad news. The government has decided to levy tax on the entire amount of arrears – even for the 60 % which will be paid next year, in the current fiscal itself. 
For most employees, the decision would virtually wipe out almost the entire amount of 40% arrears to be paid to them this year. Senior bureaucrats will suffer the most as their tax would be topped with a surcharge of 10%, applicable on an income of Rs 10 lakh and above. 
A senior finance ministry official said the surcharge to be paid by officers of the rank of joint secretary and above ranges between Rs 24,600 and Rs 52,500. The impact would be less on the lower grades.

August 23, 2008

Grade Pay for Armed Forces Enhanced

Source : The Tribune
The central government has upwardly revised the grade pay for armed forces officers, but the key question remains whether the enhancement would do away anomalies created by the Sixth Pay Commission (SPC) in the status of military officers vis-à-vis civilian officers.
According to information available with The Tribune, the increase in grade pay for armed forces ranges from Rs 400 per month to Rs 2,000 per month at different levels (see chart). 
 
Sources reveal that though the grade pay for the armed forces has been raised, similar enhancement has also been done for civilian officers, which may not give the former any benefit as far as status is concerned. After the SPC recommendations, grade pay remains the sole determinant of status.
The basic pay scales of the armed forces as well as civilian officers as recommended by the SPC were increased after a review committee put in fresh suggestion. This, however, did not give any edge to armed forces personnel vis-à-vis their status.
To cite an example where the revision has further eroded the status of armed forces officers, lieutenant colonels and equivalents in other services have now been granted a grade pay of Rs 7,600.
The SPC had recommended a grade pay of Rs 6,600 for officers at this rank, while recommending Rs 7,600 for the equivalent non-IAS directors of central government and Rs 8,300 for ones from the IAS cadre.
The Army had accordingly sought a raise of grade pay for lieutenant colonels to at least Rs 7,600 since traditionally Lieutenant-Colonels(Lt- Col) had been enjoying a pay more than even directors from the IAS cadre.
Moreover, the time frame for promotion to Lt-Col and director was the same, thatis, 13 years. However, while acceding to the demand of raising the grade pay of Lieutenant Colonels to Rs 7,600, the government has, on the other hand raised the grade pay of directors to Rs 8,700 resulting in the same anomalous situation prevailing prior to the revision.
Though complete details are yet to filter down, officers fear that the same situation may crop up at other ranks. The services are expected to take up the issue with the central government.
While the arrears for the salary will be paid with effect from January 1, 2006, revised applicable allowances will be admissible from September 1, 2008.

Do It Yourself : Calculate your New Salary

Fixation of Pay as on 01.01.2006:

Old basic = 7500 ( in pre revised scale S-14 = 7500 – 250 – 12000)

Revised Pay Band = PB-2 = 9300-34800

Grade Pay = 4800

New Basic pay as on :

01.01.2006 = Old basic pay X 1.86 + Grade Pay = 7500 X 1.86 + 4800 = 18750

01.07.2006 = 18750 X 1.03 = 19313

01.07.2007= 19313 X 1.03 = 19892

01.07.2008 = 19892 X 1.03 = 20489

Transport allowance for A1 city from 01.09.2008= 1600

HRA for A1 city = 30 % of new basic from 01.09.2008 = 0.3 x 20489 = 6147

DA on new basic and transport allowance( but TA will be given from 1.09.2008) = revised DA is 16 % effective from 01.07.2008 = 0.16 X ( 20489 + 1600) = 3524

Total Emoluments from 01.09.2008 = New basic pay + TA + HRA + DA ( on new basic pay + TA) = 20489+1600+6147+3524
= Rs 31760

Total Revised Gross Pay from 01.09.2008 = Rs 31760.

Total Pre revised gross pay as on 01.08.2008

= old basic X 1.5 X 1.54( 7% additional DA will be effective from 01.07.08 in pre revised scale 47+ 7 = 54%) + TA + HRA + CCA = (7500X1.5 X 1.54)+ 400 + (0.3 X 7500 X1.5) + 300
= 17325 + 400 + 3375 + 300 = 21400

Gross pre revised Pay as on 01. 08. 2008 = 21400

Absolute hike in gross salary = Gross revised salary – gross pre revised salary = 31760 – 21400 = 10360

Percentage (%) hike in Gross salary = (10360/21400 ) X 100 = 42 %

For those who prefer automated systems:

 NEW AND UPDATED SALARY CALCULATOR

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Notes:

1. It is assumed that he has not got any promotion between 01.01.2006 to 01.09.2008. If one got promotion between 01.01.2006 and 01.09.2008, one additional increment of 3% of new basic pay will be given plus his revised grade pay after promotion will be added for calculating new basic pay. In above sample calculation, if someone got promotion in 01.08.2007 from pre revised scale S-14 (= 7500 – 250 – 12000) to S-15 scale (8000 – 275 – 13500), this scale is now upgraded in PB-3 ( 15600 – 39100) with grade pay 5400.

Therefore he will get one additional ancrement on 01.08.2007
New Basic pay as on
01.08.2007 = 19892 X 1.03 + 5400 ( new grade pay) – 4800 (old grade pay) = 21089
01.07.2008 = 21089 x 1.03 = 21721
Remaining calculation for TA, HRA and Da will remain as it is.

2. He is staying in Class A-1 city.

3. He is not using official transport, therefore eligible for transport allowance.

4. Revised Da will be effective 2% from 01.07.2006, 6% from 01.01.2007, 9% from 01.07.2007, 12 % from 01.01.2008 and 16 % from 01.07.2008.

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