Whalesbook
A recent report from payroll platform Deel and equity management platform Carta highlights a dramatic shift in compensation for tech professionals. In India, the median pay for engineering and data roles declined by 40% to $22,000 in 2025, down from $36,000 in 2024. This trend starkly contrasts with the United States, where median compensation for similar roles increased to $150,000 from $122,000 during the same period. Product and design roles in India also saw a salary reduction, with median pay dropping to $23,000 compared to the US figure of $138,000.
However, the report points out that India has one of the smallest gender pay gaps globally. Median salaries for men and women are nearly on par, ranging between $13,000 and $23,000 depending on the role. Gender parity was achieved in sales roles, with both genders earning $12,000. While larger gaps exist in product and design roles ($23,000 for men vs. $18,000 for women) and data roles ($18,000 for men vs. $13,000 for women), they are less pronounced than in countries like Canada, France, and the US.
Globally, total compensation for top technical talent is rising, driven by increasing equity-based pay. India is noted as an emerging market experiencing rapid gains in median equity grants for engineers as a share of company ownership, indicating a global move towards compensation models heavily weighted towards equity.
Impact
This news can significantly impact Indian tech companies' ability to attract and retain talent, potentially affecting their labor costs and competitiveness. The divergence in pay trends with the US might also influence global talent mobility. The rising trend in equity compensation could be a key factor for employees in future negotiations. Rating: 8/10.
Difficult Terms Explained:
Median Pay: The middle value in a list of salaries sorted from lowest to highest. It represents the salary of the person exactly in the middle, meaning half earn more and half earn less.
Equity-based pay: Compensation that includes company stock or stock options, rather than just cash salary. It represents a share of company ownership.
Gender pay gap: The difference between the median earnings of men and women, usually expressed as a percentage of men's earnings.