LTIMindtree, a subsidiary of Larsen & Toubro has given hardly any increment to its employees, and that too after months of delay. While some have got no hike at all, others have got one to two per cent hike, as reported by Money Control. It is pertinent to mention here that Larsen and Toubro Infotech (LTI) and Mindtree had merged last year.
The wage increment cycle, which should have begun in April was postponed to August. Additionally, LTIMindtree has altered its internal pay structures. As a result, the variable pay was changed to fixed pay in the yearly packages of the employees. Also, the macroeconomic challenges, the fear of recession, inflationary conditions and the crisis that has hit banks in the US have led to customers becoming very cautious. As a result spending on tech has reduced.
With the number of projects dwindling, the number of benched employees has been on the rise. Therefore, they have been unable to enhance their ratings that are taken into account in performance evaluation.
LTIMindtree reportedly claims that the percentage of salary increments for each employee is decided on the basis of individual performance, tenure with the company and market competitiveness.
Earlier this year, in April, the company bagged headlines for delaying the onboarding of freshers who had been given offer letters n 2022. At least 600 freshers were waiting for their joining dates at the time.
