India’s second-largest IT services exporter, Infosys Ltd, has rolled out a fresh set of promotions for around 5,000 employees in a bid to stem its rising attrition rate. The move comes soon after new chief executive officer (CEO) Vishal Sikka took over the reins of the IT major on August 1.
Infosys has given promotions to employees falling between the L3 and L5 categories, according to sources. The job level 3 is for software programmers and the next levels are for higher designations. The company, which reported an attrition rate of 19.5% at the end of first quarter of FY15, has given out 7,500 promotions during the April-June period. It has taken several measures to control the attrition rate, such as reducing the variable component in the salary structure, having a quarterly promotion cycle and putting in place a fast-track career programme for top performers, among others.
Infosys has given salary hikes of 6-7% to its employees in India and 1-2% to those on site, effective April 1. Other Indian IT majors have also given salary increases for FY15, with TCS being the highest at 10% followed by Wipro at 6-8%.
Vishal Sikka has reached out to the company’s former employees seeking greater connect. The e-mail sent to them last week said, “I have often heard it said that once an Infoscion, always an Infoscion. Friend, you stand testimony to this fact, and I know I can look forward to our continued association and your support as an ambassador for Infosys.”