No salary hikes in Infosys till July; no job cuts has been planned

BENGALURU: Infosys has delayed salary increases to at least July and even later for senior employees, India's second-largest software services exporter said, even as it played down fears of job cuts and started taking steps to reduce operating costs.

For employees ranked JL5 (job level 5) and below typically those with less than eight years of experience  the compensation review will be effective from July, chief operating officer UB Pravin Rao said in an email on Wednesday. 

Infosys did not respond to an email seeking comment. Salary increases at the company are typically effective from April. 

"They have delayed the salary hike. They are also raising the cost of parking in the campus and facilities fees. So even if you get a hike, you will end up giving most of it back to the company," an employee with Infosys said. 

Infosys founder NR Narayana Murthy has said it is unfair for top executives to give themselves large hikes while curbing pay for the other employees. 

The Indian IT services industry is facing a tough time customers in banking and healthcare in the US have held back on spending due to uncertain regulations and clients in the UK are yet to bounce back from the vote to exit the EU. 

 "The onset of automation and productivity means that if your performance is not good enough, then you are not really able to deliver values the company needs. The appraisals of the competencies of the people will certainly have to be rigorous in keeping with changing global standards," R Chandrasekhar, president of Nasscom,said.