Infosys is gradually implementing long-awaited salary hikes, with some employees receiving increases in December and others expected to get theirs in January.
A significant number of employees at Infosys saw their salaries being hiked with effect from 1 November 2023
However, the increment was less than 10 per cent, mostly in single digits only. Entry-level employees did not receive any hikes.
The salary hike, which was delayed by months, was unexpected at a time when the IT sector was struggling with falling demand levels. Infosys usually raises salaries for its senior executives in April every year and for other ranks in July. This time, due to the slump in demand and overall uncertainty prevailing, the increments were delayed.
Companies are becoming more selective in granting salary hikes. According to media reports, Infosys has excluded juniors and mid-level employees hired after October 2021, as well as seniors who joined after October 2020.
The company saw a workforce reduction of 7,530 employees in the second quarter, surpassing the previous quarter. Employee count decreased from 3,36,294 in Q1 to 3,28,764. Voluntary attrition also declined from 17.3 per cent to 14.6 per cent. The company delayed salary increments due to industry challenges amid a macroeconomic slowdown.