IITs Feel Impact Of Global Economic Slowdown, Salary For 2024 Graduates Declines: Survey

Global economic slowdown has finally started impacted recruitment at the domestic level. The engineers graduating in the year from the Indian Institutes of Technology (IITs) reported that they clocked a decline in the salaries offered, studies conducted separately by Deloitte and TeamLease revealed.

According to a report by The Economic Times, the studies found that salaries for the class of 2024 inched lower owing to the dampened hiring momentum. The surveys found that the annual pay range for engineers graduating from IITs in 2024 stood between Rs 15 lakh to Rs 16 lakh. 

A study conducted by Deloitte on campus workforce trends for 2024 found that salary for graduates from the top 10 engineering institutes reduced marginally. Notably, the National Institutional Ranking Framework decides these rankings and 8 out of the 10 institutions are IITs.

A study by TeamLease Services revealed that the median annual salary at older IITs stood at Rs 18 lakh to Rs 20 lakh in 2023. The report cited sources and said that placement activities are going on currently at multiple IITs and this recruitment season is slightly more extended as compared to earlier years 

Neelesh Gupta, Partner, Deloitte India, elaborated on the findings in the report and said, “They can expect a median compensation of Rs 16.3 lakh per annum in 2024 as per our study.”

TeamLease found that the median compensation at the new IITs declined to Rs 12 lakh to Rs 14 lakh per annum in 2024, as compared to Rs 15 lakh to Rs 16 lakh in 2023. Ramesh Alluri Reddy, CEO, TeamLease Degree Apprenticeship, noted, “The decline in median salary is particularly pronounced across the seven old IITs.”

Reddy attributed this fall in median salaries to factors like global eocnmic downturn, industry moving towards fields such as electric vehicles and manufacturing, a surge in competition, and a preference for internships over full-time jobs, the report stated.

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