The Hindu Business Line : IT firms dole out pay hikes, bonus to employees

NEW DELHI: From reinstating variable pay to hiking salary and giving surprise bonus, IT firms, which were worst hit by the downturn, gave more than one reason to their employees to cheer this festive season.

With the market conditions improving and economy showing signs of recovery, the IT firms such as TCS, Infosys, Mahindra Satyam, Google, NIIT and others, which are now seeing more business trickling in, have started reviving a lot of employee-centric poli cies.

Buoyed by a 29 per cent jump in profit for the July-September period, software exporter TCS had said it would pay 150 per cent of the quarterly component of the variable pay to eligible employees in India pay roll.

The company gave 100 per cent of the quarterly component of the variable pay in the first three months of the fiscal. Earlier in the last quarter of the previous fiscal, it had frozen the variable pay due to global financial meltdown.

According to Gartner principal research analyst Mr Diptarup Chakrovorti, the focus has now shifted back to the people and retaining talent. “In the past few months, HR heads were not bothered about attrition. Now, with the demands improving, companies wa nts to secure their talent pool with hikes, bonuses as human capital is the biggest challenge in the IT industry,” he added. - PTI

Prev: 3G spectrum auction on Jan 14
Next: More X ray baggage system for Commonwealth Games

Business Line | NUS Index |

Copyright copy; 2009, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line