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Topic : Reverse Brain drain to India
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Created by : Nikhil Jain, Senior Consultant, Hewitt Associates  | 10 22 2009 09:53:20 +0000
Industry : Human Resources (HR) ConsultingFunctional Area : Performance Management(People Management)
Activity:  1821 views;  last activity : 07 06 2010 20:18:09 +0000

The pay scale that the professionals were offered there was much appreciable and higher than what was offered here. Also the difference between the infrastructures was very wide and the facilities offered there were very good. But the current trend is just the reverse of what India witnessed from past many years. The fact that the highest salary in US dollars are offered by Indian technology company with international operations. Do you think that salary is the only reason behind this reverse brain drain?

 
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Every human being wants to work in a place which is not too far away from his native. Still people in India went abroad to work just because they had better career opportunities and high salaries there by which they could give better comfort to their near and dear ones. When they get the same facility near their native only, why would they go to some other country ? This is the present case with Indians too. Because of getting high salary in their own country, they are getting better lifestyle which they were getting abroad and because of this, they are returning back to their own country to work and its a good sign. Countries like USA reached the height of success because of Indian brains only and if we use the same talent for the sake of our own country, the day is not far when we will overtake US and become No.1.


By Gargi Sinha, Senior Consultant, Hewitt Associates  10 23 2009 07:40:43 +0000
 
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I believe this reverse brain drain can be attributed to a number of reasons- the higher salary just being one of them.

Take this in perspective: the United States has always been the preferred destination for the globe-trotting Indian- whether for studies or to pursue a vocation. I mean, how many people even consider studying in Hungary or working in Norway? The changing political landscape, however, has made it tougher to gain entry to the States, which has made at least a certain segment of the population to either look at other countries as options or to stay in India. And no other country seems as promising as the US of A. Getting there is not as easy now, and hence it's a contributing factor to the reversal of the trend.

Another reason can be the increasingly modern lifestyle in India. There was a time when the developed countries were far ahead of us when it came to what the average resident owns. At a time when a middle-class Westerner would have a colour TV, the Indian counterpart would be content with a transister radio, and so on. Now, the story is different. India is a global player and a huge market for anything and everything. The consumer here has the power of choice on his side and given the money, a healthy enough standard of living can be maintained. Minus the struggle of adjusting to a new country, plus the advantage of being close to family and friends.

Agreed, India has its own shortcomings- inadequate roads, teeming population, etc., etc.- but it's home, and always has been. Only, now it's possible to make life here comfortable like never before. Everything put together, is making us witness the reverse brain drain.

*Note: Feel free to point out discrepancies in my logic, if at all some exist. :-)


By Tarun Chawla, Product Executive, TCS  10 23 2009 04:18:11 +0000
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Though this is partly true, most of the Indians staying abroad would like to come back at some point of time. Culturally, Indians would like to stay with the family rather than staying alone abroad.


By Murali K Balla, Technical Support Manager Atkins  | 11 20 2009 13:21:09 +0000
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Exciting moolah, great career opportunities has made India the favorite destination of the professionals. Surveys by Business says that India would require 700 CEOs in the next two years. Now this is not just tempting for the expatriats but also for the foreigners. The exciting compensation and opportunity is the prime reason for reverse brain drain.
By manjari jha, Soft Skills Trainer, IKC-IHTM  | 10 31 2009 04:50:01 +0000
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Yes
By Shailesh Shukla, Project Lead, NGO (Bharatiya Grameen Mahila sangh)  | 10 28 2009 07:58:23 +0000
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India has moved ahead in delepoing countries and offering lifestyles as par as developed countires in many cities and in many ways. Many industries are doing much better in India and taking a lead role in international market. Indians views on certain fields and aspects are accespted as better.

IT, Pharma, Space, Neculiar Science, Sales Chain, Consumables Products, Mobile, Infrastrucutres segments are few to name the fasted emerging market in India. Now the world is looking at India for Services and market.

With these growing opportunity, the salary will naturally move upwards. The growing market of multiple sectors is the key factor for this success.


By Atul Kumar, `Confidential, Confidential  | 10 26 2009 13:27:30 +0000
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Yes, people who have settled in other countries are planning to come back to India mainly due to high salary. The latest milestones that India added to its road map to success are forcing the non residential Indians to come back to their roots. India which is emerging as a hot market for IT companies and IT brands which are making step in the direction of success are ready to hire and pay high salary for the employees. So people feel it is worth working in India than in any other countries.


By Nikhil Jain, Senior Consultant, Hewitt Associates  | 10 22 2009 09:55:23 +0000
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High salary cannot be the reason. The reason, is mainly the insult, an intellectual, educated, skill full or talented person feels in India.... and on the other hand, gets respect in other nations.. even from common public, that they get so much attracter towords them. They get positions there, depending upon, how much productive work they can do for the people there... how much employment they can generate, how much poverty and problems they can eradicate... no matter which group they belong to ( religionwise, regionwise, castewise, languagewise... and astonishingly even countrywise ). 

recently the holloywood blockbuster  "2012" depicted the misery of the conditions under which Indian scientists work.


There are people in India, who can feel proud to work for normal salaries too, if they get the advantage of the work they do, future security through assurances of equal approach to education and positions. This assurance would help prepare themselves strong through education and knowledge, by the time, they get normal salaries.

In short, atleast a peon, "demanding for 500 rupee note" should not be able to stop an intellectual, from entering a government office. That is the respect, right, oppurtunity and power common indians need, no matter their salary is low compared to what they may get in other countries.


By Vishwas , -, --  | 03 28 2010 07:14:39 +0000
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I agree to all those who say that instability of foreign market has been the reason of reverse brain drain in past few months, at the same time India has also faced alot of job cuts & lay offs. high salaries were rarely offered by companies.


By Jaishree , Client Servicing Manager, Aspiring Minds  | 01 31 2010 04:43:03 +0000
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The recession,slow economic growth in foreign countries.

Sustained growth in India and increase in salaries and opportunites to earn more , shortage of skilled managers and projection of india GDP@8% growth,  has contributed to reverse brain drain.

 


By malladi madhukumar, Senior Manager- Marketing, Cement company  | 01 07 2010 11:40:00 +0000
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Reverse brain drain  can be attributed to various reasons.Let us take automobile industry, hardly there were only two major players in India,like Hindustan Motors, Premier Motors.But today one has to refer before concluding the  numbers of automobile manufacturers in India.Similarly various industries have come up because of foreign companies investment, and the policeies they have implemented similar to their countries.Amongst the policies high salary is also one important factor.Now a days our youngsters are very carefull in their decesions, all factors are being considered such as visa,waiting period,safty.

India is not the same old as in the past, we have everything required for fast life,Indian cultural perspectiveness has changed.This trend is going to continue further as long as our youth find secured here.

 


By c.s.manjunthan , BUSINESS DEVELOPMENT MANAGER., ENTREPRENEUR & SENIOR TRAINER  | 11 21 2009 06:43:05 +0000
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The UNDP estimates that India loses $2 billion a year because of the emigration of computer experts to the U.S. Indian students going abroad for their higher studies costs India a foreign exchange outflow of $10 billion annually.


By ikshit sharda, B.B.A student, JaganNath institute of management studies  | 11 15 2009 17:54:20 +0000
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Recession & regulation in American immigration laws are the prime reason for reverse brain drain to India. Most of the expatriates who have come back used to work mainly in USA & the prime reason they came back is coz they lost their jobs. We are witnessing reverse brain drain since the last 1 or 2 years which also coincides with the start of recession. So, its not high salaries which has brought these people back to India, salaries have more or less remained stagnant in this period owing to recession.

I believe the reverse brain drain would decline as soon as USA starts emerging out of the recession & the foreign companies again start recruiting from the blue-blooded institutes of India.


By Suvrajit Gangopadhyay, B.E. (Elex. & Comm.)  | 11 15 2009 17:50:47 +0000
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I believe that economic stability in local market is responsible for reverse brain drain.  Also, to a limited extent, the changes in the political scenarios in US which is now more native friendly in nature.


By Hari Prasad K, Head - Managed Services & IT Solutions  | 11 15 2009 13:46:10 +0000
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Oflate it is witnessed in younger generation that they want to go abroad only for short period and earn money.  The thinking of settling down at abroad has come down.


By RAVI P, Zonal Head, Private Bank  | 11 15 2009 09:09:43 +0000
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Yes, u r right mam


By ranjan mittal, service team leader, Vodafone  | 11 10 2009 15:24:39 +0000
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Agree to your argument sir. "The grass on the other side always looks greener" but the salary package is not the only reason for it. There are other aspects as well, as you rightly mentioned. 


By Sneha Sahal, Associate Analyst, Deloitte  | 11 10 2009 14:32:46 +0000
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I would like to attribute the reverse brain dump to a couple of major co-incidences:

When the recession across the globe reached the acme, it was election time in India. No political party would want to allow the recession repercussion to wave in India, however, there was some effect as most of the IT companies in India are one or other way dependent on the revenues from their Projects running out from west. This scenario added a strength to the perception of Indian strong and robust economy.

 

Besides the relatively strong performance of Indian economy, Obama made some changes in the policy in terms of VISA issuance which loosened the root of many people in US. Many people felt unsafe about it and found a safer opportunity in India and other Asian countries. Additionally, some companies took this as an opportunity to move people out of the US to a low cost location ( ex: India ).

 


By Manjunath Hampanur, Analyst Developer, GS  | 11 03 2009 18:44:07 +0000
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The economic stability and policies adopted by our nation is the main reason


By REJI U.R., Design Engineer, CENTRAL PUBLIC WORKS DEPARTMENT  | 10 31 2009 08:39:31 +0000
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Yes
By Shailesh Shukla, Project Lead, NGO (Bharatiya Grameen Mahila sangh)  | 10 28 2009 07:58:37 +0000
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It is the improvement of professionalism at home that is mostly responsible for reverse brain drain


By Biranchi Narayan Acharya, Chief Manager (Projects), Simplex Infrastructures Ltd  | 10 27 2009 05:59:53 +0000
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Not at all, during the recession, India and China were the least effected countries and thus the job losses were not so much as it was in other countries. In India, recruiting was still going on which stopped in almost majority of the foreign countries. This was the main reason for reverse brain drain in India.


By Yash Singh, Coresspondent, Star  | 10 27 2009 05:19:52 +0000
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Nope! Pay is never an issue in most cases. If employees basic needs are met they would work anywhere they want. Fundamentally they are not happy in whatever places they are living and in the jobs they are working
By Ravi Kumar B N, Project Leader/Managing Consultant, Freelancer  | 10 27 2009 01:50:20 +0000
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The people who migrated were opportunistic and did so because of availability of work and the relatively higher pay. Now the trend has reversed and people are returning because the opportunities are diminishing if not completely gone.

Take it with a large dose of salt, if some one (exceptions though) claims (s)he is returning to serve or give back to country.

 


By Raman M, Software Professional  | 10 26 2009 11:58:06 +0000
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i dont think ,this could be the only reason


By dilip gour, NA, ABCABC  | 10 23 2009 08:16:50 +0000
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No I don't think high salary is the reason for reverse brain drain. As I mentioned in the previous article, US economy was in recession for last 2 years and now it's recovering but recovery is very slow. During the last two years lots of people were lost their job and even now job creation is very low due to slow recovery. This situation is not going to improve for another few years.

Apart from this due to slow recovery people are saving more and reduce their expenditure due to uncertain job market. It hampers companies to sell their product in the market. In order to survive, these companies are shifting their base where demands are very high and that is India & China. This makes another jolt to existing unemployment condition in US.

I think reverse brain drain is happening not because of higher salary in INDIA & CHINA but because of uncertain employment condition in US.  


By Deepak Agrawal, Consultant, Independent Consultant  | 10 22 2009 12:01:16 +0000
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