Infosys resumes valuation hike for Indian employees with 6-8% hike – CNBC TV18

Infosys resumes valuation hike for Indian employees with 6-8% hike – CNBC TV18



Infosys, India’s second-largest IT services company, has announced its latest round of employee compensation hikes, which will be effective in two phases – January 1, 2025, and April 1, 2025.

Jayesh Sanghrajka, the company’s chief financial officer, revealed that these wage hikes are expected to put pressure on margins in Q4FY25 and Q1FY26. The average salary increase for employees in India is estimated to be between 6-8%.

The pay revision coincides with the appraisal cycle spanning from September 2022 to October 2023. Eligible employees received their ratings in December 2023. While the pay hike normally takes effect from July following the assessment letters released in June, the process experienced a delay to 2024. The previous pay revision had become effective from November 1, 2023.

Infosys had paused salary hikes in FY22 as a cash conservation measure, but restarted its annual appraisal cycle in October 2023. The respective pay revision letters were issued in December 2023, marking a return to the standard process.

The Bengaluru-headquartered company reported a net addition of 5,591 employees in the October-December 2024 quarter, taking its total headcount to 323,379 at the end of September 2024.

Infosys posted net profit of ₹6,806 crore in the December quarter of FY20, slightly higher than CNBC-TV18’s survey estimate of ₹6,753 crore. The company’s profit rose 4.6% sequentially, reflecting stable performance amid ongoing challenges in the industry.

(TagstoTranslate)Infosys salary hike(T)Infosys compensation hike(T)Infosys appraisal cycle(T)Infosys salary hike 2025(T)Infosys salary revision(T)Infosys employee pay hike(T)Infosys India salary hike(T)Jayesh Sanghrajka Infosys(T)Impact on Infosys’ margins(T)Infosys’ employee headcount in December 2024(T)Infosys Net Profit Q3 FY25(T)Infosys Financial Results 2024(T)Infosys Employee Rating 2023(T)Infosys Bengaluru HQ(T)Infosys IT Services Firm(T)Infosys Q4FY25 Outlook(T)Infosys Net Addition Employees(T)Infosys Valuation Period