Chief financial officer confirms phased approach to pay hikes
Infosys is delaying its annual salary hikes to the fourth quarter of the 2024-2025 fiscal year amid economic uncertainty globally, according to reports.
Jayesh Sanghrajka, chief financial officer of Infosys, announced on the company's Q2 results briefing that it will roll out salary hikes in a phased approach.
Some employees will be receiving salary increments in January, while the rest will receive the hike in April, TechStory reported.
Infosys last raised its salaries in November 2023, with its latest phased salary hike announcement adding the company to the growing list of India-headquartered firms that are delaying increments.
Firms that also postponed pay increases include HCLTech, LTIMindtree, and L&T Technology Services.
According to the reports, the pay hike delays reflect the larger economic uncertainty affecting the global IT industry.
The Indo-Asian News Service reported the salary hike delays were a result of clients not increasing their IT spending amid economic uncertainty, including the potential tariffs under the new Donald Trump administration.
Median salary increase in India
The median salary increase in India is predicted to increase by 9.5% in 2025, according to WTW's latest Salary Budget Planning Report.
This is as high as the actual salary increase in India a year ago, which was slightly lower than the 9.8% initially projected.
Despite the slowdown in projections, India has the highest projected salary increase rate across the Asia-Pacific region, with Vietnam coming in second with 7.6%.
Sector-wise, the highest projected median salary increase in India is reported in Pharmaceuticals and Life Sciences with 10%.
The software industry, on the other hand, reported a nine per cent projected median salary increase.
