The employees who are working with IT companies are experiencing a mixed bag of salary increments. Most IT services-providing companies have announced Nil/less salary increments or deferred salary hikes due to economic uncertainties.
Among the top IT companies in India, only TCS has rolled the salary increment for its employees of 12-15 percent.
Here is a list of companies who have given salary increments this year and who have delayed.
LTIMindtree rolled out very poor increments, 0-2% hike after the delay
LTIMindtree rolled out very poor increments for its employees, many have received a 0-2% hike even after months of delay.
LTIMindtree general wage increment cycle begins in April. The company has now delayed to August. There have several employees who have received zero percent increments while some employees have also received hikes of 1-2 percent in fiscal year 2024.
The media reports have also suggested that LTIMindtree has revised the salary structures leading to lower side increments as the variable pay (which could be around 8.5 percent of the overall package) has been included in fixed pay.
Tetley, Wipro, Salary Increase / Announcements
Tetley will be increasing the salary of employees by 7% salary. The raise will be effective from 1 April 2023.
This will benefit roughly 200 employees working for Tata Consumer Products, the manufacturer of Tetley goods for Canada and the UK.
Tech Mahindra defers salary hikes for senior employees due to a huge drop in net profile in Q1FY24. Wipro has also announced a delay in its wage hike cycle for the fiscal year.
Wipro has announced that it has postponed the salary hike of its employees to the 3rd quarter, the salary hike given in September last year will be postponed to the October-December quarter this year. The company plans to carry out the pay raise in the third quarter of the year instead of Q2.
This is Similar steps are being taken at other Indian IT services companies. The technology company HCLTech has deferred salary hikes for their employees by one quarter.
Chief People Officer Ramachandran Sundararajan said, “Typically, this time of the year, we make our announcements on pay reviews.”
“Last couple of years the hiring that we have done and the compensation reviews that we have done, we have taken that into consideration and have taken a decision to defer our annual reviews by a quarter,” Ramachandran Sundararajan added.
TCS Salary Hike: TCS Rolls Out 12-15 percent
TCS has rolled out an annual salary increase with effect from April 1st. The company has given a 12-15% raise for exceptional performers in the latest annual compensation review and also commenced the promotions cycle.
Milind Lakkad, Chief HR Officer, said, “We remain focused on developing, retaining, and rewarding the best talent in the industry, and enhancing their effectiveness by bringing them back to the office to foster our culture. Our Return to Office initiative is picking pace, with 55% of the workforce already in the office thrice a week.”
“We have given a 12-15% raise for exceptional performers in our latest annual compensation review, and also commenced the promotions cycle”, he added.
Infosys delays salary hikes of employees
Infosys has not yet implemented salary hikes. The company typically announces its salary revisions in June or July, which become effective from April.
This delay in salary hikes indicates that the companies are facing difficulties in the current economic situation, with projects being scaled down or canceled.
