Infosys has informed employees that performance bonus payouts for the fourth quarter of FY25 will be lower than expected. This move comes as the company reported an 11.7 per cent year-on-year decline in net profit.
During a recent conference call with a major delivery unit, Infosys HR executives and team managers explained the muted bonus payouts, attributing them to the current business slowdown. While acknowledging employees’ dedication, including long hours and weekend work, company leaders emphasized that the downturn is temporary. Top performers, they assured, would be considered for higher bonuses in the next growth phase.
Earlier in the fiscal year, Infosys had granted salary hikes ranging from 5 per cent to 8 per cent for most employees. For the December quarter, the company had distributed average bonuses of 80 per cent to eligible staff across delivery and sales functions. However, given the current financial headwinds, Q4 bonuses have taken a hit.
In addition to tightening financial rewards, Infosys has reinforced its work-from-office (WfO) mandate. Effective March 10, employees must now work from the office for at least 10 days each month. The policy includes a two-tier approval process for additional remote work. Any unapproved work-from-home days beyond the set limit will result in deductions from employees’ leave balances.
The company has also reminded employees of the support extended during better financial periods, including promotions, international opportunities, and favourable bonuses. While the immediate outlook remains subdued, Infosys is positioning itself for recovery and has assured that employee contributions will be rewarded once the business climate improves.