Infosys is expected to begin issuing annual pay hike letters in February 2025, as per recent reports. Employees at job level 5 (JL5), such as track leads, will be the first to receive their letters. The hike for JL5 employees will be effective retrospectively from January 1, 2025.
For employees at job levels 6 and above, which include managers, senior managers, and delivery managers, pay hike letters will be rolled out in March. These raises will take effect from April 2025. This development follows an appraisal period spanning from September 2022 to October 2023.
A Shift in Appraisal and Hike Timelines
Infosys’ appraisal process has seen significant adjustments in recent years. After freezing salary hikes during the financial year 2021-22 to conserve cash, the company resumed its annual appraisal cycle in October 2023. Employees had received their rating letters in December 2023, marking a shift from the usual schedule where ratings were announced in June and hikes became effective in July.
The last salary hike at Infosys was implemented on November 1, 2023. The upcoming pay hikes reflect the company’s ongoing efforts to streamline its compensation practices and reward employee performance.
Performance Bonuses and Financial Trends
Infosys also provided an 85 percent average performance bonus payout for the second quarter of the financial year 2024-25, slightly higher than the 80 percent payout in the first quarter.
The fall in the rupee, now at a record low of approximately 86.39 to the dollar, is expected to boost the company’s margins despite seasonal revenue softness.
Conclusion
The forthcoming pay hikes and bonus payouts signal Infosys’ commitment to recognizing employee contributions amid challenging economic conditions. This move reflects a strategic effort to balance internal employee morale with external financial pressures. Employees and industry observers will closely monitor these developments as Infosys navigates its evolving appraisal and compensation strategies.
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