A war for talent is raging in Silicon Valley where internet companies, from big groups such as Google down to the smallest start-up, are scrambling to find the best technology specialists, sending ripples to labour markets from London to Bangalore.
Large California-based companies are raising salaries and bonuses to prevent seasoned employees from defecting to a competitor, while compensation for junior engineers just leaving university has gone up 30-50 per cent in the last year, according to several industry insiders.
Microsoft in April announced a pay rise for its 90,000 employees. That followed Google raising salaries by 10 per cent at the end of last year to prevent a loss of talent to other Silicon Valley companies such as Facebook.
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