Startups don’t want to part ways with top performers, give out 100% salary hike to retain talent

In a bid to retain talents employees, startups are giving out as much as 150% hike in the salaries in this appraisal season.

Often, startups find it difficult to hire talent and are forced to go to B-schools during recruitment season.

Once hired, they don’t the talented lot to leave the organisation and the startups do anything to retain top performers such as accelerated promotions, sponsored family trips, executive programmes to global B-schools, apart from increments.

As per reports, food tech firm Faasos is planning to give high-potential employees at the junior-mid level 150% increment, compared to 100% last year.

"We are also offering additional incentives in direct proportion to sales (for the sales team) with no upper limit. ESOPs will be offered to top performers," Aditya Adyar, chief people officer at Faasos, told ET.

Likewise, Pronzo also plans to give 100% raise and ESOPs.

Meanwhile, India Inc is expected to give 10.5%-10.6% hike for 2015-16.

"It's still a very competitive scenario when it comes to retaining and attracting key talent and increments are a big talent attractor. Unlike corporates, where there is a much more structured system in place, in startups, you have to pay what top performers demand. It's a business requirement," Anandorup Ghose, rewards consulting practice leader at Aon Hewitt, told ET.

BigBasket will offer underpaid top performers up to 50% increment.

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