HCL Stops Salary Appraisal For All Employees In 2020; Gives Jobs To 15,000 Freshers
IT major HCL Technologies Ltd. has announced that they will stop all salary appraisals this year, and this will be applied for all employees.
But, the silver lining is that they will not stop hiring.
15,000 freshers were provided jobs this year.
HCL Suspends Salary Appraisal This Year
HCL has announced that this year, there will be no salary appraisal for any employee.
Coronavirus pandemic and the subsequent slowdown is the reason.
After announcing their Q1 results of financial year 2020-21, Prateek Agarwal, CFO, HCL Technologies confirmed this, as he said, “… the company has decided to suspend wage hikes for the year due to the pandemic.”
Interestingly, HCL’s profit increased 32% this quarter, compared to last year. They reported profits of Rs 2925 crore in Q1 of 2020-21 (April, May June), which is 31.7% more than last year for the same period, when they posted profits of Rs 2,220 crore.
Consolidated revenues increased to Rs 17,841 crore, which is an increase of 8.6% compared to last year.
HCL Will Continue Hiring
At the same time, HCL has informed that they will continue hiring based on the demand, and attrition rate.
Hence, there will be no slowdown in hiring new employees, and lateral hiring too will increase.
In the Q1 of 2020-21 (April to June), HCL hired 2000 laterals and 1000 freshers.
Prateek said, “We will continue to hire in coming quarters based on need and also attrition,”
As per VV Apparao, Chief Human Resources Officer, their company typically hires 3500 to 4000 laterals in a quarter.
We have already reported that HCL, along with Infosys, TCS and Wipro will increase lateral hiring this year, even as attrition rate drops.
Overall, offer letters to more than 15,000 freshers have been provided, and 1000 of them were on-boarded this quarter.
There are total of 150,287 employees in HCL, and their attrition rate stood at 14.6%.
Comparably, Infosys hired 5000 laterals, and will on-board 20,0000 freshers this year, while Wipro hired 7000 laterals, and will on-board thousands of freshers starting from August.
We will keep you updated, as more details come in.