#Lockdown: Capgemini Increases Salary For 84,000 Employees; Pays Rs 10,000 Bonus
After being in the bad light for tweaking the leaves policy, Capgemini revealed how the organization is managing its employees, new hiring and onboarding, wellness initiatives for the employees, and other such issues.
The French multinational corporation, Capgemini has introduced high single-digit hikes for 70% of its Indian staff effective from April 1.
Read to find out more…
Pay Hikes for Employees!
Capgeminii has a workforce of 2 lakh employees of which 1.2 lakh are in India. Capgemini has rolled out increments for its 84, 000 employees. The rest of the organisation will receive the hikes effective from July.
Some decisions were taken at the company’s first virtual leadership meeting in mid-March. The company is offering upto Rs 10,000 allowance for stranded employees without a PG accommodation. It is also retaining the employees on bench and paying their salaries without a timeline around it.
The company has extended its shift allowance to its employees working from home. Over 95% of its employees have been forced to work from home which prior to the COVID-19 pandemic was 15-20%.
The promotions scheduled for April are to be effective from July 1, and will be announced in June. The firm has also introduced variable payouts for eligible employees with the March payroll.
Provisions for Employees on Bench!
Usually IT companies give a grace period of 60 days for the employees on bench to find a billable project. If they don’t find one, they are asked to leave the company. The companies have around 6-8% employees on bench.
Capgemini India CEO Ashwin Yardi said irrespective of the absence of clients and bench time, the employees will be credited with their salaries. The aim of the company is to figure out how the business will evolve. He further said, “ And we have a clear view as to what our economic model is going to look like and we don’t see any reason to discontinue this approach.”
What does the Company have to say about the Pay Cuts?
When inquired about the pay cuts in the leadership team of the company, Yardi said that all employees of A and B grade totalling to 84, 000 have got their pay hikes whereas others will get theirs according to the company’s plan. “ There is no discussion within the leadership of Capgemini, India for a pay cut,” he added.
Capgemini India has also set up a Rs 200 Cr benevolent fund which will be used for medical emergencies for any of the employees who need it beyond their medical insurance for themselves or their families.
Yardi said one of the key things is to ensure employees have trust in the leadership. He also said, “ And it’s not just talking about it but demonstrating it. In these difficult times, people will look to us to see what actions we’re taking in building trust. We will have some cost-containment measures, but there are many other levers to it.”