 "Why IIT grads are forced to say yes to Rs 33,000 a month salaries")
The prestigious Indian Institute of Technology Bombay (IIT-Bombay) recently concluded its on-campus recruitment drive with mixed outcomes.
According to its placement report for 2023-24, the average annual package was concluded at Rs 23.5 lakh compared to last year’s Rs 21.8 lakh.
While this compensation is slightly up by 7.7 per cent, the lowest package at IIT-Bombay has hit a low, sparking concerns.
The institute also witnessed fewer students securing jobs through the campus drive this year.
Let’s take a closer look.
High-paying offers rise, minimum salary drops
Around 364 companies offered nearly 1,650 jobs, as per Moneycontrol.
As per the report, 558 offers made by 123 participating companies had their gross compensation packages of more than Rs 20 lakh per annum.
Another 230 offers ranged between Rs 16.75 lakh and Rs 20 lakh, according to The Times of India.
The average salary of students was reported at Rs 23.50 lakh per annum, a 7.7 per cent increase from last year’s Rs 21.8 lakh. The median salary was Rs 17.92 LPA.
The placement report says there was a 12 per cent increase in the number of companies recruiting from IIT-Bombay this year.
As per the report, 22 IIT graduates accepted a package of Rs 1 crore and above and 78 offers were accepted for international jobs. International jobs were offered from different firms based in Japan, Taiwan, Europe, UAE, Singapore, USA, Netherlands, and Hong Kong, as per NDTV.
Impact Shorts
More ShortsIIT-Bombay in its report explained the reason behind fewer international companies participating in the recruitment drive. They said, “Due to the war in Ukraine and the subdued global economy, we saw fewer international recruiters.”
On the flip side, the lowest package offered during the campus drive dropped from Rs 6 lakh per year to Rs 4 lakh this year.
Ten students have accepted job offers with annual packages ranging between Rs 4 lakh to Rs 6 lakh, as per TOI.
Fewer students’ participation
According to the placement report, out of the total 2,414 registered students, only 1,979 actively participated in the recruitment drive.
While the average salary package for students rose this year, the number of students placed through the campus drive was lower than in 2023. Of these, 1,475 students accepted the offers, as per Moneycontrol.
The institute’s report also highlighted that over 775 students secured placements in multinational corporations (MNCs) in India, and 622 graduates were placed in Indian firms.
The second phase of this year’s placement season was slow. However, with 300 offers made, it picked up pace after April, said TOI.
A source told TOI that while 75 per cent of students were placed through the campus drive, another 15 per cent found jobs on their own.
Explaining the gap in the number of registered students and those who secured jobs, IIT-Bombay said, “Some of the 435 de-registered students want to pursue higher studies, such as MS/M Tech/PhD and MBA courses, while others opted for entrepreneurship or civil services, and did not appear or had minimal participation in the placement drive.”
Sector-wise distribution
The largest recruiting sector of IIT-Bombay was the engineering and technology, with as many as 430 students from 106 companies for entry-level roles.
The second biggest recruiter was information technology and tech, which witnessed a slight uptick compared to the previous year.
The official report by IIT Bombay reads, “In various engineering domains, 430 students were selected in 106 core engineering companies at entry-level positions. Information Technology and Tech hiring have slightly more this season compared to last year. Around 307 students have been offered four IT/Software jobs by over 84 companies through campus placement, making the IT sector the second biggest recruiter after the engineering sector.”
“Compared to last year fewer selections, i.e. 117 consulting offers were made by 29 consulting companies. Trading, Banking, and Fintech companies were prominent recruiters,” the report added. The finance sector made 113 offers across 33 companies this year.
Consulting roles experienced a decline in recruitments, with only 117 offers made by 29 firms.
Emerging fields that showed rising trends were artificial intelligence, machine learning, product management, mobility, 5G, data science, and education.
Seventeen design companies offered 33 jobs, a slight decline compared to previous years. Eleven companies from the education offered 30 jobs, according to NDTV.
Research and development (R&D) witnessed increased activity. About 36 firms were hiring for 97 positions across various fields, that included automation, energy science, battery technology, chemical and mechanical research, and power electronics.
Among the 118 PhD students participating, 32 were successfully placed.
Download: IIT Bombay Placement & Internship Report 2024
Shift in the job market
According to the Mint citing a report by Deloitte and TeamLease workforce trends 2024 study, the annual salary packages of Indian IIT graduates this year have decreased to between Rs 15-16 lakh.
A Deloitte report states, salaries for graduates of the top 10 engineering schools (eight of which are IITs) have somewhat dropped for the class of 2024. There are currently 23 IITs in India, the oldest seven of which are located in Guwahati, Delhi, Chennai, Mumbai, Kanpur, Roorkee, Kharagpur, and Kharagpur.
Out of overall IIT data of 21,500 registered students, 8,090 were unplaced, constituting 38 per cent of all students.
In 2023, the number was 21 per cent and in 2022, it was 19 per cent, as per the TeamLease Services report released in May.
According to the Mint report, in 2023, the median annual pay of IIT graduates dropped from Rs 18-20 lakh at the old IITs to Rs 15-16 lakh. This was at a time when some IITs were still accepting placements. The median annual salary at recently founded IITs has also dropped, from Rs 15-16 lakh in 2023 to Rs 12-14 lakh.
Placement officer Preeti Garg reported that there has been a decline in the number of students placed this year in comparison to last.
TeamLease Degree Apprenticeship Chief Executive Ramesh Alluri Reddy in July explained the decline in median salary include the global economic slowdown, industry shifts favouring sectors like manufacturing and electric vehicles (EVs), increased competition, and the preference for offering internships over full-time positions.
He said that although there is a wide salary range, with certain people commanding large sums reaching Rs 1 crore or even Rs 2 crore, many graduates are receiving offers that fall between Rs 10 lakh and Rs 6 lakh annually.
With inputs from agencies
 "Russian drones over Poland: Trump’s tepid reaction a wake-up call for Nato?")
 "As Russia pushes east, Ukraine faces mounting pressure to defend its heartland")
 "Why Mossad was not on board with Israel’s strike on Hamas in Qatar")
 "Turkey: Erdogan's police arrest opposition mayor Hasan Mutlu, dozens officials in corruption probe")
 "Russian drones over Poland: Trump’s tepid reaction a wake-up call for Nato?")
 "As Russia pushes east, Ukraine faces mounting pressure to defend its heartland")
 "Why Mossad was not on board with Israel’s strike on Hamas in Qatar")
 "Turkey: Erdogan's police arrest opposition mayor Hasan Mutlu, dozens officials in corruption probe")
