“So, the negative is essentially inflation that we will see over there, which is a wage inflation moving forward.”

In context

“orward, clearly, volume is the biggest driver for us in terms of operating leverage that we have, and the net productivity that we are driving. So, volume in that productivity should be the critical margin expansion drivers. Steve Tusa: And that you view price cost as separate from that productivity, I would assume? Anurag Maheshwari: Yes, correct. Steve Tusa: In the bridge? Anurag Maheshwari: Yes. Steve Tusa: So, then I am just wondering like if you got all of these kind of like good guys going your way and assuming like the economy doesn’t like go to hell. What is the – like, R&D is flat, you should get SG&A leverage? You are talking about this productivity, price cost is not a headwind like what is the headwind to margins going forward? Like what’s the negative? Anurag Maheshwari: Yes. So, the negative is essentially inflation that we will see over there, which is a wage inflation moving forward. But besides that, you shouldn’t see anymore, of course, FX is there, which we don’t know which way that could move. But if you look at overall margin even for the year, right, it’s basically four pieces. It’s a quarter of volume, a quarter of the restructuring cost, that – look, which came down lower compared to last year, it’s a quarter of the TSA reimbursement and a quarter of net productivity. If you go into next year, there will be a little bit lower on the restructuring cost charges. But again, it’s going to be more volume and it’s going to be more on the productivity side with the biggest headwind being on inflation and potentially FX. It depends which way it goes. Steve Tusa: Sorry, one last one, how much is labor as a percentage of your costs again? Anurag Maheshwari: Labor as a p”