IT majors roll out hikes ahead of earnings season

As the results season comes around, there is news of IT majors rewarding their employees. Big boy, Infosys, has started the process of salary hikes and promotions, albeit to a very small percentage of its employees. CNBC-TV18's Sunanda Jayaseelan reports on how increments and promotions in the sector have been this year.

Infosys had earlier said during its April results that it will not be giving increments and promotions in its regular cycle. But it would review the decision based on the company's performance. Infosys, which announced promotions in April, has started rolling them out over the past 2-3 days and increments are being linked to those promotions. However, it has gone to a very small proportion of its employees, only about 16,000 of the 1.5 lakh odd employees that it has. It has been in the range of 8-10%, which is also what its peer Wipro has given out. But, Wipro has not rolled out promotions yet and is likely to do so in October. Some other companies which have given promotions and increments include MindTree, offering an average increase of 8% to its employees, effective from June 1. Two companies, TCS and iGate were the only ones, which gave out increments starting April. TCS has given an average increase of 8-10% while iGate has given a hike of 10%. The companies, meanwhile have been silent ahead of the first quarter results and have therefore, not been able to officially comment on the queries. Also watch the accompanying video.