In a candid statement that has caught the attention of India’s tech community, Zoho Corporation CEO Sridhar Vembu has urged software engineers not to take high salaries for granted, warning that the golden era of inflated compensation may not last forever. His comments reflect growing concerns about the sustainability of tech salary structures, especially amid global economic shifts and rising automation.
A Changing Industry Landscape
Vembu, known for his grassroots approach and deep focus on long-term value creation, emphasized that the current salary levels in tech are historically high—but not guaranteed. He cautioned engineers, particularly in India’s urban tech hubs, to build real-world skills, develop resilience, and avoid overdependence on market-driven pay hikes.
“High salaries in software were made possible by global demand, easy capital, and digital transformation. But tides can turn. Engineers must prepare for leaner times,” Vembu remarked.
The Real Value of Engineering
At the heart of Vembu’s warning is a call to focus on solving real problems, not just chasing paychecks. He encouraged software professionals to:
- Master the fundamentals of computer science
- Build products that address local and global needs
- Embrace continuous learning beyond corporate roles
- Avoid lifestyle inflation driven by temporary salary spikes
This advice is particularly relevant as mass layoffs and hiring freezes sweep across tech giants and startups alike.
Global Trends Putting Pressure on Salaries
The era of venture-fueled tech growth has slowed. With rising interest rates, economic uncertainty, and AI-driven productivity tools becoming mainstream, many companies are rethinking the cost of engineering talent.
- Remote work has widened the talent pool, reducing geographic salary premiums
- AI tools are replacing or accelerating tasks traditionally done by junior engineers
- Startups and enterprises are cutting costs, including payrolls, to extend their runway
In such an environment, engineers must focus on durable value, not just trendy skills.
Zoho’s Long-Term Approach
Zoho has often gone against the grain in India’s software industry. The company:
- Invests heavily in rural talent development
- Runs its own Zoho Schools of Learning to train engineers without traditional degrees
- Prioritizes bootstrapped growth over VC funding
- Encourages frugal innovation
Vembu’s remarks are consistent with his belief in sustainable growth over hyper-scaling.
Conclusion
Sridhar Vembu’s message is clear: tech salaries are a reflection of value, not entitlement. As the global economy shifts and technology evolves, software engineers must move from a salary-first mindset to a skills-first approach. The future belongs not to those chasing the next big paycheck, but to those solving the next big problem.
