The annual wage increases at Infosys, a major IT company, have been postponed until the fourth quarter of the current fiscal year (Q4FY25), Moneycontrol said on Monday. In November 2023, the company last increased wages.
The main cause of the wage hike delay is the unpredictability of global demand, particularly for IT services. Macroeconomic volatility, delayed client budgets, and low discretionary spending are the current issues facing IT companies.
HCLTech, LTIMindtree, and L&T Tech Services, in addition to Infosys, postponed pay raises in the second quarter in order to preserve profitability.
Stock performance
The shares went to touch the day high level of Rs 1,973.00 per share, after hitting the opening at Rs 0.00 per share on the Indian bourses.
Salary hike announced
According to the report, Infosys announced on October 17 that it would raise wages gradually in Q4. Following the Q2 results, CFO Jayesh Sanghrajka stated, ‘A portion of that will be effective in January, and the remainder will be effective in April.’
According to reports, Infosys paid out performance bonuses to qualified workers in November for the quarter that ended on September 30, 2024. The bonuses were intended to be paid out along with mid- to junior-level employees’ November-end salaries.
Q3 results soon
This month, IT majors like Tata Consultancy Services (TCS), Infosys, HCL Technologies, Wipro, and other Indian tech firms are expected to release their third-quarter FY25 earnings, which concluded on December 31, 2024.
Infosys shares concluded last trading session at Rs 1,938.55 per share on the bourses with a tiny decline of 0.010 per cent amounting to a Rs 0.20 per share on the exchanges.
