Infosys employees receive average salary hike of 5-8%
What's the story
Infosys, one of the top IT services firms in India, has kicked off its latest round of salary revisions for employees.
According to The Economic Times, the average pay hike is between 5% and 8%, based on individual performance ratings.
However, a small group of exceptional performers has been given double-digit increments.
Levels
Hikes based on performance categories
Infosys has divided the salary hikes under three broad categories: "met expectations," "commendable performance," and "outstanding performance."
While employees who met expectations got a 5-7% increase, those with commendable performances were given a 7-10% hike.
A select few outstanding performers got increments of 10% to 20%.
However, employees in the "needs improvement" category did not get any raise.
Adjustments
Salary revisions apply to various job levels
The salary revisions are applicable for employees at Job Level 5 (up to team leaders) and Job Level 6 (managers below vice presidents).
Employees at JL5 got their pay revision with retrospective effect from January 1, while those at JL6 will see their increase effective April 1.
Infosys is yet to respond to queries for more details on these changes.
Comparison
Latest salary hikes lower than previous revision
Compared to the last pay revision in November 2023, the current salary hikes are 5-10% lower across all bands.
The performance bonus (variable pay) payout announced by Infosys last week also witnessed a similar decrease.
These changes come after a period of appraisal from September 2023 to October 2024, following which the eligible employees received their rating letters in December.
Future prospects
Employee reactions and future plans
The latest salary hikes have drawn mixed reactions from Infosys employees. Some were disappointed, saying they had hoped for a bigger increase.
Nevertheless, Infosys continues to perform well financially. The firm reported an 11.4% increase in net profit to $800 million and a 7.6% jump in revenue to $4.9 billion for the October-December quarter, beating expectations.