Turing Technologies is officially rolling out a USD-pegged remuneration scheme for all employees. The scheme is being implemented to safeguard salaries from exchange rate-induced inflation.
As majority of the team resides in Pakistan, with the heightened domestic political uncertainty and COVID-19 pandemic have contributed to a 10 percent depreciation in the rupee during the last 6 months, the partners and stakeholders of the company devised this scheme in response to ensure that the living standards of their employees don’t take an undue hit due to exceptional macroeconomic factors.
Pegging means, establishing the US dollar amount of the employee salary as a base and then paying the employee in local currency, based on the prevailing exchange rate.
“Our people are our most valuable asset, and we’d like to support them in any circumstance. In order to eliminate the uncertainty over the exchange rates, we’ll ignore the day-to-day fluctuation, we’ll increase (and not decrease in case of reduction in conversion rate) the salaries (no questions asked) as soon as the conversion rate increases by 2.5% since the last pay period.” – Said the management of Turing Technologies
Hence effective from April 1st 2022, all of the full-time employees of Turing Technologies will get 8-10% raise in their gross salaries.
As a multinational company, they have the benefit to keep their funds in another currency (USD, EUR) and only convert to PKR once required. By pegging salaries to the US dollar, all they are doing is sharing the benefit they gain from a depreciating currency with their team so they may sleep easy at night.
They have flat hierarchy and are a result-driven company. When asked how did the idea for inflation-protected salaries first came to their thought, they responded “When one of our founders overheard our employees discuss the increasing USD to PKR conversion rate, and we acted fast to find a solution. The main reason why we opted to peg salaries is because local banks convert any foreign currency to PKR before crediting into bank accounts. By pegging salaries, people will get their incomes protected from inflation.”
They are proud to be the first ones to act in the tech industry. They’ve taken the initiative to encourage all the employers in Pakistan (who have foreign entities or clients) will follow their example.
They’re very open to having new people onboard aswell, so if you’re reading this, and you don’t work at TuringTech, they invite you to come join them. They work with some of the best startups solving complex and challenging engineering problems. Their engineers get a chance to interact and seek advice from engineering leaders from the topmost companies around the world. If you know someone who’ll be a good fit? Checkout our Referral and Signing Bonus Policy.
Elon Musk secures deal to buy Twitter for $45bn to “make it better than ever”