With attrition touching 20%, Infosys announces $10 million special bonus pool for employees

April 15, 2018
Special bonus pool comes at a time when the Bengaluru-headquartered IT company said it was looking to return upto Rs 13,000 crores to shareholders in FY19.

Infosys said it had created a special bonus pool of $10 million to be paid out to its over 200,000 employees in addition to their regular quarterly variable pay, at a time when its attrition is 20 per cent .

The special bonus pool comes at a time when the Bengaluru-headquartered IT company said it was looking to return upto Rs 13,000 crores to shareholders in FY19.

The company also said it was making higher payouts on variable pay than it had in over two years.

“The variable payout was 100 per cent this quarter, this was the highest in the last ten quarters. In addition, we have created a $10 million bonus pool to be paid out to employees,” UB Pravin Rao, chief operating officer of Infosys, said in a post-results press conference.

The company also promoted 2,221 people in the quarter. About 85 per cent of Infosys employees will also receive their increments starting April 2018. The remaining 15 per cent , generally employees with over eight years of experience, will receive their increments effective July 2018.

The payouts to employees comes as the company’s attrition touched 20 per cent for the year ended March 2018. Attrition was 18.7 per cent for the quarter ended December 2017. It was 17.1 per cent for the quarter ended March 2017

The IT company attempted to dampen concerns about rising attrition by saying that high-performer attrition had decreased.

“High-performer attrition decreased to 9.4 per cent from 14 per cent ,” COO Rao said.

indiatimes