<p>Country's second largest software services firm Infosys has raised salaries of its employees in the country by 6-7 per cent and by 1-2 per cent for onsite workers, effective April 1.<br /><br /></p>.<p>"We have increased salaries. We have given salary hikes of 6-7 per cent for offshore and 1-2 per cent onsite employees, effective April 1," Infosys CFO Rajiv Bansal said.<br /><br />The increase in salaries and promotions that have been rolled out and the investment in new visas is likely to impact the first quarter margins by about 3 per cent, he added.<br /><br />Infosys added 10,997 employees (gross) in the last quarter of FY'14 and 39,985 during the fiscal to take its total headcount to 1,60,405 people.<br /><br />"This is the second time we are giving compensation increase over the last nine months. Nine months back, we had given a compensation increase of 6-8 per cent offshore," Infosys CEO and MD S D Shibulal said.<br /><br />The company has been showering its employees with incentives including promotions and salary hikes in a bid to boost morale and check rising attrition.<br /><br />The Bangalore-based company, which has trailed peers TCS and Cognizant on growth, is also looking at weeding out non-performers to improve efficiency.<br /><br />People following developments at the firm said focus is on retaining quality talent, while letting go non-performers, something Founder and Executive Chairman NR Narayana Murthy has reiterated at various fora.<br /><br />About 12,500 employees have been promoted since October.<br /><br />Infosys, as part of performance improvement programme, allows 'poor performers' to undergo training to get into shape. These employees then undergo a review and those who fail are asked to leave.<br /><br />Murthy was brought back at the helm in June last year to try and pull Infosys back on the growth track following several quarters of dismal performance.<br /><br />Within weeks of his return, Infosys increased salaries of its employees in India during 2013-14 by an average eight per cent.<br /><br />In 2012, Infosys had delayed hikes and salary increases were given only in October when the company came under pressure due to increments offered by peers.<br /><br />In January, Murthy had said the company is looking at returning to its practice of announcing salary increments effective April.<br /><br />According to global HR firm Aon Hewitt, employees in the IT sector (Hi-Tech industry) can expect an average salary increase of 10.2 per cent during 2014.<br /><br />Increments in the software products industry are estimated at 10.8 per cent and knowledge process outsourcing at 11.9 per cent.</p>
<p>Country's second largest software services firm Infosys has raised salaries of its employees in the country by 6-7 per cent and by 1-2 per cent for onsite workers, effective April 1.<br /><br /></p>.<p>"We have increased salaries. We have given salary hikes of 6-7 per cent for offshore and 1-2 per cent onsite employees, effective April 1," Infosys CFO Rajiv Bansal said.<br /><br />The increase in salaries and promotions that have been rolled out and the investment in new visas is likely to impact the first quarter margins by about 3 per cent, he added.<br /><br />Infosys added 10,997 employees (gross) in the last quarter of FY'14 and 39,985 during the fiscal to take its total headcount to 1,60,405 people.<br /><br />"This is the second time we are giving compensation increase over the last nine months. Nine months back, we had given a compensation increase of 6-8 per cent offshore," Infosys CEO and MD S D Shibulal said.<br /><br />The company has been showering its employees with incentives including promotions and salary hikes in a bid to boost morale and check rising attrition.<br /><br />The Bangalore-based company, which has trailed peers TCS and Cognizant on growth, is also looking at weeding out non-performers to improve efficiency.<br /><br />People following developments at the firm said focus is on retaining quality talent, while letting go non-performers, something Founder and Executive Chairman NR Narayana Murthy has reiterated at various fora.<br /><br />About 12,500 employees have been promoted since October.<br /><br />Infosys, as part of performance improvement programme, allows 'poor performers' to undergo training to get into shape. These employees then undergo a review and those who fail are asked to leave.<br /><br />Murthy was brought back at the helm in June last year to try and pull Infosys back on the growth track following several quarters of dismal performance.<br /><br />Within weeks of his return, Infosys increased salaries of its employees in India during 2013-14 by an average eight per cent.<br /><br />In 2012, Infosys had delayed hikes and salary increases were given only in October when the company came under pressure due to increments offered by peers.<br /><br />In January, Murthy had said the company is looking at returning to its practice of announcing salary increments effective April.<br /><br />According to global HR firm Aon Hewitt, employees in the IT sector (Hi-Tech industry) can expect an average salary increase of 10.2 per cent during 2014.<br /><br />Increments in the software products industry are estimated at 10.8 per cent and knowledge process outsourcing at 11.9 per cent.</p>