IT major Infosys is going to give 80 per cent average variable pay to its employees this month for the July-September 2023 quarter (Q2 FY24), according to an ET report. Individual payouts will be different based on the performance and contribution for the quarter. The average variable pay is the same as the previous June 2023 quarter.
The 80 per cent average variable pay in September 2023 is, however, higher than the 60 per cent average variable pay received by employees in the April 2023 quarter and 70 per cent in the June 2022 quarter.
Employees under position level 6 or PL6-manager and below will obtain the variable pay.
In an internal communication sent to employees, “This is to keep you all informed that the quarterly performance bonus payout for Q2FY2024 will happen in November 2023 payroll for all eligible employees.”
Unit delivery managers have been mandated to finalise the payout distribution for their respective units. The eligible employees will be informed about their respective payouts soon, according to the ET report.
Meanwhile, in October, after announcing the company’s financial results on October 12, Infosys CFO Nilanjan Roy also announced that the company will roll out its wage hikes from November 1.
The company used to roll out hikes to everyone below the senior management in April, and to those above in July. “Every quarter we have a look at the environment and what the competition is doing — so there is nothing decided,” he said.
Infosys’ annual appraisal cycle commences in October and ends in September of the following financial year. The company discloses employee ratings by January and releases the salary hike letter in June.
In 2022-23, Infosys had halted its salary hikes in order to conserve cash. However, it started its annual appraisal cycle in October.
In the second quarter ended September 2023, Infosys reported a 3.2 per cent jump in its net profit to Rs 6,212 crore as against Rs 6,021 crore a year ago. Its revenue during July-September 2023 increased 6.7 per cent to Rs 38,994 crore, compared with Rs 36,538 crore a year ago.
On a quarterly basis, the company’s net profit rose 4.5 per cent and its revenue increased 2.8 per cent during the September 2023 quarter.