Infosys Salary Hike Announced! IT Major To Roll Out Pay Increment From January, Say Reports

SOURCE : NEW18 NEWS

Last Updated:January 16, 2025, 23:10 IST

Employees at job level five (JL5) will receive their salary hike letters in February, with the increment applied retroactively from January 1. For those at job level six (JL6) and higher, the letters will be distributed in March.

Infosys, which has announced better-than-expected Q3 FY25 earnings on Thursday, is expected to roll out annual salary hikes starting January, according to the latest reports. It aligns with the country’s second-largest IT company’s prior communication regarding pay increments.

Employees at job level five (JL5) will receive their salary hike letters in February, with the increment applied retroactively from January 1. For those at job level six (JL6) and higher, the letters will be distributed in March, with the hike taking effect from April, according to an Economic Times report.

JL5 roles typically include track leads, while software engineers, senior engineers, system engineers, and consultants fall below this level. JL6 and higher roles encompass managers, senior managers, delivery managers, and senior delivery managers, excluding vice presidents.

During an Infosys Validation Services (IVS) unit town hall last week, a senior company executive reportedly shared these details with some employees.

This round of pay hikes corresponds to the appraisal period from September 2022 to October 2023. Eligible employees received their ratings in December 2023. Typically, employees receive their increment letters in June for hikes effective from July, but this was delayed in 2024. The previous compensation revision came into effect on November 1, 2023.

Infosys had frozen salary hikes in FY2022 to conserve cash and started its annual appraisal cycle starting in October 2023 releasing a salary revision letter for the last salary cycle in December 2023.

Infosys’ Strong Q3FY25 Performance

Despite the challenges, Infosys reported an 11.4 per cent year-on-year rise in its net profit for Q3FY25 at Rs 6,806 crore, compared with Rs 6,106 crore in the same quarter last year. The results exceeded Street expectations.

The company’s revenue from operations during October-December 2024 also saw a 7.5 per cent year-on-year increase to Rs 41,764 crore, against Rs 38,821 crore in the year-ago period.

Infosys also raised its CC revenue growth guidance for FY25 to 4.5-5 per cent for the third quarter in a row, as against its previous guidance of 3.75-4.5 per cent.