BANGALORE, INDIA: The employees of Capgemini, the outsourcing, consulting and IT services provider, have suddenly got their pockets heavy as the company has announced a salary hike for the employees, despite the ‘R-word’ doing the round globally, leading to salary cuts everywhere.
Reportedly, the new hike is with retrospective effect from January month of this year and the employees have already got the arrears.
A software engineer at the company, requesting anonymity, informed that last month, the company had announced about the hikes.
The source said, “The new hike is effective on the overall cost to the company (CTC), and is calculated from the month of January, when Capgemini’s fiscal year starts. The employees have received eight months’ arrears with the salary for August.”
However, when approached, Capgemini was unavailable for comment.
According to the information, the salary hike ranges from 5-15 per cent of the fixed pay. This increment in the salary is applicable to all the employees except those who had received a negative rating in their performance review, said the source.
The Human Resource representatives of the company conveyed that Capgemini was waiting for the market response vis-a-vis the slowdown, and this reward is a result of the positive outlook of the market.
Apart from this, the employees had already received their work-bonus in the month of March, which falls under their variable pay.
Interestingly, as a routine exercise, salary reviews used to take place in the month of January, which is when the new fiscal year starts. But this time seeing the market turbulence, the company management preferred to stay quiet and did not announce any salary review, while the profile appraisals and promotion occurred on time.