Skip to main content

Salary differential between white and blue collar in services sector....

In a services driven economy like United Kingdom, it is quite interesting to note the salary differentials between white collar professionals and blue collar workers. My experience is limited. I work in a retail shop that pays £ 6.84 per hour for sales assistants. A quick calculation would reveal a part time staff working 20 hours will earn £ 593 per month and full timer (37.5 hours) will earn £ 1,110 per month.
As against, a fresher in leading accounting firms are known to be paid between £24,000 and £ 27,000 per annum, which roughly translates into £ 2000 per month. It is universally never more than £ 50,000 per annum in any sector for freshers. Not much of a salary differential if you consider that a sales assistant could be anyone who has completed 11th year of or 13th year schooling and a fresher in accounting firm would have spent three to five years of additional studying.
Though the salary increase for a guy in an accounting firm would be fast compared to the guy in retail store. However, unlike in many countries, there is tremendous scope for sales assistants to become managers.
Two things stand out: the salary divide between blue collar and white collar professionals is not that big atleast in the initial stages. The multiple is less than 3 or 4. Second, there is no 'non-merit' barriers for career growth potential and employability,

Comments

Ramnath said…
There are two other metrics you have to look at. Salaray cost as a % of total cost. And business/employee. These might explain the gap.

And also, in blogger settings, in comments settings page, activate word verification. That might help you to bring down the spam comments.

Popular posts from this blog

How can you support a publication you like

When I shifted to my half completed (more on this some other time) flat in Gurgaon in 2016, I couldn't locate newspaper distributors for four or five months. Suddenly, from consuming four or five newspapers, I was completely dependent on digital media. I was going less directly to the news source (say, thehindu.com or livemint.com) but was getting my news from Facebook and Twitter, and from apps like Flipboard.

It became an experiment, as I was consuming interesting stuff but I was not necessarily getting informed. People whom I have met once or twice, or have never met are influencing what I was consuming via Facebook. If you're wondering why you often see posts by your most popular friends, that's the way Facebook algorithms work, unless you specify who's feed should come first. If Facebook promotes post of your not-so-popular friends, why would you read!

I searched hard to find a newspaper distributor and found one finally, after four or five months. So now I subsc…

What if government schools and hospitals attract people with money

I had this random thought (and I get this often only when I have 1000 important things to finish!)- what if people who can afford private schools and hospitals find state-run schools and hospitals good enough for them. All of my friends in UK and US don't send their children to private schools (its another matter that location matters on quality of state-run schools there) and those in UK, don't spend money on healthcare.

Just imagine if this can happen in India. People will be left with more surplus that they can save more or spend on something else. School fees in major Indian cities can be as high as Rs 2 lakh per child per year. The sheer confidence that we don't have to spend on medical expenses and the state will take care will give confidence to spend more money.

The multiplier effect of this extra money in the hands of the people will hugely benefit the economy, and can spring creative enterprises.

This level of expenditure (even Rs50,000 per child per year) is si…

'koil madu' and myself........

'Koil madu' is a Tamil term used to describe the cows that are tied to the temple. It is there forever. In literal usage, the term can be used on people who spend loads of time at religious place. I might fit that description well. Haven't missed many Sunday church services. If I have to put a number, I would have attended 39 out of 40 years of Sunday services.

Last Sunday, the preacher at my Delhi church was referring to Ecclesiastes 11: 1 and 2. In the last few years, I have started to like the Message translation of The Bible. This version uses modern day language, yet it captures the true meaning of the root language. So I referred to the Message version when the preacher was mentioning these verses.

These verses I haven't heard before and it was sort of like an eye opener on what the Bible says on charity. I have been a 'koil madu' but haven't found this verse for this long. It was profound. Check out the verses:

"Be generous: Invest in acts of ch…