Co-founder and CEO of Infosys, Narayana Murthy made headlines when he suggested a workweek consisting of 70 hours. It was during the CNBC Global Leadership Summit, where a rather confused Murthy voiced his strong sentiments of “unconditional love” for the Indian economy and juxtaposed it with unadulterated work hours as a means for growth. Repercussion over this speech were plenty, as multiple men and women from a variety of professions publicly opposed the incoherent and unreasonably outlanded hyperbole of combining economy with endless working hours with no regard to family wellbeing. Narayana Murthy’s Infosys announces a major salary hike, affecting above 200,000 employees, securing the position of a potent IT giant.

In the spirit of the meeting, Narayana announced major changes to their remuneration and confirmed doors for expansion on a bigger scale. In a recent report published by news18, they announced a salary increase of 4-8 percent along with the expectation of minor single digit pay increase in their March 2025 revision.

Jayesh Sanghrajka, Infosys’s Chief Financial Officer, alongside the announcement of the company’s results for Q3FY25, stated that “Broadly, the comp (annual salary increment) that we are expecting is 6-8 per cent in India, and the overseas comps will be in line with the earlier comp reviews”. The Economic Times reported this after a press briefing that took place after the announcement was made.

Employing over 3.23 lakh professionals, the Bengaluru-headquartered IT behemoth had previously postponed its annual wage raise to the last quarter of the ongoing fiscal year. The most recent adjustment of salaries took place in the month of November 2023.

Although Infosys has not made any statements regarding the exact margin that would be impacted due to the increases in salaries, Sanghrajka stated that the increases may create some turbulence for the company during the last quarter of FY25 and the first quarter of FY26.

Industry employment trends have been characterized by an increasing degree of volatility due to global distortions in the economic climate as well as the decreased amount of discretionary IT spending that has been observed. Typically seen happening at the start of the financial year, this delay suggests and furthermore explains hiring gets postponed, budgets aren’t deployed, and hence the overall growth of the company is adversely affected.