'China is the world’s factory, India can be its office': Uday Kotak
However, his comments drew flak from quite a few people who did not take well his suggestion that India could serve as a provider of 'cheap labour'.
May 28, 2020 / 03:59 PM IST
While China plays the part of the world's factory, India can be its office, said Uday Kotak, CEO of Kotak Mahindra Bank, in a series of tweets on May 24.
Kotak said: "Why should Google pay $200,000 to work-from-home US engineers when they can cheaply hire Indians here to do the same job on VC. Same with the finance analysts, marketing, architects etc. New world creates new opportunities."
In the pre-pandemic world order, China played the part of the world's factory and a leading manufacturing hub. However, the country saw a long-drawn suspension of operations in the wake of the COVID-19 outbreak, and it is still on its way to a full recovery.
At such a time, many have expressed the view that this could very well be an opportunity for India to ramp up capabilities and prop itself on the global stage.
The Indian government has also been actively involved in creating an enabling and attractive environment for foreign players and investors to set up shop here.
Pointing to the competitiveness of skilled professionals from India, Kotak emphasised how the human capital in this country can easily serve as a more feasible alternative to American professionals who are paid far more.
However, his suggestion that could serve as a provider of 'cheap labour' did not go down well with a few netizens.
Kotak responded saying, "reject that our engineers are inferior to the US. India can produce world-class human capital. CEOs of Google, Microsoft & others are Indian. I did not suggest that we underpay Indians by saying “cheap”, only adjusting for purchasing power parity."
The country holds the capability to produce "world class human capital" he said.