Infy faces wrath of shareholders

Infy faces wrath of shareholders

Drop in share price cause of worry

Infy faces wrath of shareholders

Infosys on Saturday faced some uncomfortable questions from the shareholders over the controversies engulfing them and the fall in the share prices at its 36th AGM.

While most of the share holders were concerned about the steep fall in the stock prices of the Bengaluru-headquartered IT company, there were questions about recent spat between the management and promoters as well.

The company’s share price has dropped 14.5% to Rs 943.35 per share on Friday from Rs 1,103.15 at the beginning of 2016. “Gone are the days when the company used to say we are not concerned with the share prices. Right now the times have changed. The company should see about its perception in the market,” said one of its shareholders.

Yet another shareholder called for the stock split to enhance the liquidity in the stocks. Though there were certain shareholders who justified the pay scale of the company’s CEO Vishal Sikka, yet many came down heavily on the company’s management for not being ‘austere’.

The shareholders also advised the company to enhance their communication and sort out the issue in the board rooms, rather than a “public controversy”.

The shareholders also seemed concerned about the recent issues engulfing the employees of the companies. There was a divided opinion over the issue at the meeting. While some shareholders asked the company to be more employee-friendly, others were concerned about financialdiscipline, and were critical of revenue spent on the reskilling purposes.

The company has put off close to 11,000 employees from its projects, in order to go through reskilling. The company also plans to hire more than 20,500 employees this year — 20,000 in India and 500 in US. According to sources, the company has already started hiring for its Indiana hub, that will be operational by August 2017.

The company has been seeking feedback from its employees every fortnight, which was sought once a year earlier, according to the company COO Pravin Rao.