The financial crisis that started of in the US subprime market is spreading fast across the globe. Even in our IIMs which boasted salaries above 1 crore are feeling the pinch. With America's fourth largest investment bank Lehman Brothers filing for bankruptcy protection and Merrill Lynch being bought over by the Bank of America, placements at the Indian Institutes of Management will be affected
These financial giants have so far been the biggest recruiters from the IIMs especially from the institutes at Ahmedabad, Bangalore and Calcutta.These have been among the day zero firms on IIM campuses and have made plum job offers.
After the bloodbath and the US Government rescue bids, gloom looms large over IIM placements. These episodes lead to a volcanic eruption of unemployment problems, which had already set in a year ago after the slowdown of the US economy. The fate of candidates inducted into such organisations is almost sealed and they need to look elsewhere for opportunities at a discounted pay packet. It may be difficult for them to come to terms and face reality as they were used to hefty emoluments. Even after hiring IIMs at fancy salaries, their brains could not arrest the downfall of the corporates.