Infosys, one of India's top Information Technology (IT) services firms, is set to roll out annual salary hike letters to employees by the end of March, according to sources cited by the Economic Times.
The company is currently finalising compensation revisions based on performance reviews and recommendations from its delivery units.
During a recent town hall meeting at Infosys’ Bengaluru campus, Chief Human Resources Officer Shaji Mathew addressed employees regarding the upcoming salary hikes. He confirmed that employees at Job Level 5 (JL5) and below will see their salary increases take effect from January 1, while those at Job Level 6 (JL6) and above will have their revised pay structures kick in from April 1.
Mathew further stated that performance ratings have already been communicated to employees, and these evaluations will play a critical role in determining individual salary hikes. However, he did not provide specifics about the overall appraisal cycle.
Unlike previous years, Infosys did not issue compensation letters in June 2023 for hikes that typically began in April. Instead, the company implemented a salary revision in November 2023, following a salary freeze during FY22 as part of cost-cutting measures. The appraisal cycle resumed in October 2023, with revised pay letters distributed in December for that cycle.
This move is in line with earlier comments made by Infosys Chief Financial Officer (CFO) Jayesh Sanghrajka during the company’s earnings call last month. He had indicated that employees in India could expect salary hikes of around 6-8%, while those overseas would receive more modest increments, consistent with past trends. High performers are expected to receive larger raises.
Infosys is likely to implement the salary revisions in two phases, with JL5 and below receiving their hikes from January 1 and JL6 and above seeing changes from April 1. For senior-level employees, salary increments will be closely tied to the company’s revenue performance.
