Mysore: India’s second largest IT exporter Infosys Ltd. announced a sharp 20% hike to all the employees who worked during the India vs. Australia world cup semifinal match. This hike has come as a surprise among company workers and to the industry as well. Infosys which is known for its rigid policies and late hikes is undergoing a transition under CEO Dr. Vishal Sikka’s leadership. This decision is also being seen as a direct view of Mr. Sikka who recently played a Santa to Infy employees giving away Apple iPhone 6S.
Speaking on this decision to the Economic Times Mr. Rajeev Bansal, CFO Infosys said, “We announce straight 20% hike to all employees whose working hours has been found more than 9.15 hrs. today and who were present at their desks for more than 8 hrs. during time period 9:30 to 17:30. Our online tracking tool has pulled the data for the day for all present employees for the day and the data will be filtered in a day using our latest Big Data tool BigEDGE. All eligible employees may expect mailer regarding their hike confirmation by Friday. Company will finish this exercise by Friday itself. This hike has been announced out of turn and it very well shows our company growth plan & out of box thinking. This hike is irrespective of any appraisal rating hence, ensuring a hike to the worst performer,too. Moreover all those, getting this hike will again be eligible for annual hike which may be announced by Mr. Sikka during yearly results. #BleedBlue Company Infosys wishes India all the best for future.”
Aligning to Infosys strategy Mr. Rajeev didn’t entertain any question and just finished saying, “According to our company policy this was FYI statement. We have submitted the same press release to BSE as well. Get your questions answered by email.”
Receiving this news, stock market indices which were going down during the whole day, BSE closed at 133 points up and Infosys share shot up 7.6% closing at day high 2645. The IT index on BSE shifted up by 2.7% at end of the day.
Analysts gave the mixed reaction to this announcement. An IT analyst Mr. Shashi Roiya spoke to ET, “This announcement seems to be just an another glittery bar by the IT major. This hike will cover very few people and all people who work in night shift at Infosys are auto disqualified. Hence I will take this as an effort by Infy to keep their employees boosted. Just this, nothing more than that.” Another expert and share market analyst Mr. Rakesh Patnaik looked very happy with this announcement. “This is the big news for the company. It will bring down the high attrition rate and will boost up the employee morale. It will in turn yield high profits and better productivity. As this drive covers low performers too, Infy has has set another benchmark for the industry, what this company is known for.” he added.
One of the Infosys employees expressed his views on condition of anonymity, “My manager was cheering up India in FC and company had arranged a TV and a projector screens in many DCs. At one side company does all this (shows off actually, he chuckles) in name of employee relations and at the other hand they are announcing hikes for people who were not enjoying these facilities. This is contradictory behavior. I want to ask Mr. Sikka just a single question Why was Mr. Sikka so eager to announce this hike on semis, was he sure that India won’t reach to final? Don’t you smell betting and match fixing? Moreover, I am sure when Mr. CFO is announcing this hike, they will give pink slips to all who were on bench and watched full match in the office. Media will never get to know about this mass firing, and even if they get to know, Infosys will mark this as a normal appraisal process.”
Whatever happening at Infosys seems to be an effort to make a positive work environment. But this is a little surprising to know about hike on such criteria. We wish Infosys and team India all the very best for future. Hope this brings down the attrition rate of Infosys.