IT firms double salary hikes after delays due to pandemic

Bengaluru: IT companies ramp up the second set of promotions and salary increases within months of the last one, as business picked up in the second half of this year, reports Times of India (TOI). After increments were given late the previous calendar year or early this year, companies are rewarding again, with intense competition for talent.

Accenture India, the consulting firm, had given its annual increments, bonuses and promotions for its employees in December last year. They ramped up another round of promotions in February this year. Accenture India told TOI that people from and above associate director level received a one-time bonus- equal to one-week base pay for their contributions during the pandemic hit last year. Also, mid-year promotions are coming this June, and the company thus creating new opportunities for people. Accenture reportedly promoted 605 people to MD and 63 people to senior MD globally last year. This includes a record percentage of women.

Infosys executive vice president and HR head Richard Lobo told TOI that the company's second compensation review cycle for the year is in progress. It has already given increments effective January, and another round of the same would be around July. Both the compensation reviews are for employees across levels, he said and added that the hike is based on the role and performance of an employee.

Tata Consultancy Services (TCS) also have given a hike twice in six months. It gave increments to all associates across levels with effect from April. TOI was informed that many senior employees received a 6-8 % salary hike higher than usual.

Thierry Delaporte, CEO of Wipro, said that measures are taken to ensure that the supply chain does not slow in the pace of growth, including the rollout of deserved salary increases for his senior colleagues in June. The range of hike is yet to be decided, he added.

HCL, which had deferred increments by a quarter last year, expects to return to the regular cycle current year. Chief HR of HCL, Apparao V V, said that they rolled out a 7-8% hike last year and it was higher at the bottom of the pyramid.

Tech Mahendra global chief people officer Harshvendra Soin said that it recently completed the salary hike cycle and announced another one with effect from April 1. He said that they have also introduced retention bonus for key talent, skill-based allowances and project-based bonuses.