| It is boom time for the staff in the hotel industry with unprecedented migraines for the top managements . According to a study on wage costs carried out by Assocham for Oct-Dec 2006 , salaries in the hotel sector went up by 107% compared to the same period last year, reports AFP.
Says Assocham president Venugopal Dhoot: "The industry is facing shortage of trained manpower resulting in higher wages. Rising salaries are also the result of high rate of inflation which is also affecting the interest rates."
The findings show that the wage cost of the firms engaged in the services sector went up by 60% on average, at the end of third quarter of FY07 compared to the same period last year. Media and entertainment sector topped the list with an increase of 184% followed by real estate (171%), infrastructure (156%), hotels (107%), IT (57%) and finance (56%).
Increasing cost of salaries in absolute terms and in share of total expenditure can be accounted to the rising aspirations of the young population of India, rising standard of living and shooting up of living cost due to inflation, the study said.
The study, which covered 160 companies, said most of the companies surveyed had raised their headcount thereby resulting into salaries occupying a striking component in the profit and loss account. For details, visit http://economictimes.indiatimes.com |
