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Compensation considerations

Social Synergy Foundation keeps in mind the following considerations in its compensation practice:

  1. Availability of reserves judged to be adequate to anchor the Company over the next two to three years and meet its commitments made under Surplus Distribution Policy (SDP).

  2. Provision of reasonable margin of safety in current year's income to cover operating costs, excluding those of business development and apprenticeship.

  3. Ensuring salaries are preferably in tune, or not too out of line, with those of leadership and senior management of its client organisations.

  4. Ensuring a certain level of financial support is provided to each employee in line with their financial condition, time commitments and the degree to which their effort yields direct monetary benefits to the organisation.

  5. A minimum of 0.5 and a maximum of 1.5 increment on the basic pay is provided on a routine basis, supplemented by periodic corrections when deemed appropriate, necessary and/or fair.


A special consideration on reserves: The Company is a non-profit entity and hence not in the business of accumulating savings for its own sake. The Company's management prefers that savings serve to meet only the following three needs:

  1. the ability to discharge all statutory and third-party dues,

  2. financial stability, which provides independence in choice of clients and thereby maintain its moral anchor, and

  3. distributions under SDP to serve a public commitment.


If it is felt that there is any excess accretion to reserves, chiefly due to under-spending carried out in the past, then the management is of the view that these excess additions need to be carefully re-balanced by calibrated and planned increase in spending on the Company's personnel or any other need.

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