Information Technology (IT) has been a beneficiary of the pandemicCOVID-19 as corporates all over the world realized the importance of movingonline to high-tech solutions like cloud service, big data, and analytics.
The software major has followed in the footsteps of itsrival TCS. The latter has increased the salary of its employees about a weekago. The updated salary will be effective October 1.
Now, in quarterly results announcement today, Infosysannounced good news for its employees.
Across all levels, salary hikes and promotions will berolled out. These will be effective January 1. In addition, a 100% variable payand a special incentive for the second quarter of the financial year will bepaid.
The company has about 2.4 lakh employees.
“The strength and resilience of Infosys was fully visible inQ2 with operating metrics witnessing a healthy increase, broad-based growth,highest ever large deal TCV at $ 3.15 bn and attrition reducing to singledigits", said Pravin Rao, COO.
“Employees have been critical part of our success. As arecognition of their stellar performance, we are giving 100% variable pay alongwith a special incentive for Q2. Additionally, we are rolling out salaryincreases and promotions across all levels effective Jan 1st."
To add to the good news for the company’s investors, thecompany reported that the attrition rate for the company had fallen tosingle-digit on a year-on-year basis. Last year, the same was 18.3% and now is7.8%.
The company reported glowing financial performance.
“Our second quarter performance is a clear reflection of ourability to help clients on their digital transformation journeys. Our digitaland cloud capabilities combined with intense client relevance are helping usachieve differentiated results in the market as is visible in 2.2% year on yearoverall revenue growth and 25.4% growth from digital offerings, which now areat 47.3% of revenues", said CEO and MD Salil Parekh.
Finally, to the happiness of investors, the investorsapproved cash dividend of Rs 12 per equity share. The stock closed in the redtoday dropping almost 2% than yesterday’s closing price.