There are finally signs of recovery in the Indian IT sector after facing turbulence for some time. Some of the biggest IT players are starting to show confidence in its workforce with recent management decisions. Tata Consultancy Services and Infosys have handed out handsome variable pay to their employees. They are the largest Indian IT companies and hire a huge workforce in the country. Infosys announced 95 per cent of variable pay to its workers while TCS announced a 100 per cent variable pay.
Infosys gave out the highest level of payout in the past nine quarters which came as a welcome surprise to the employees. The IT sector is expected to grow with more focus towards the digital market. With Salil Parekh joining Infosys, it will boost the company’s confidence in the coming quarters. Another IT major, TCS is also focusing on the long term benefits rather than the short ones.
The employees were taken by surprise at this decision. The company also gave 3000 iPhones to the top performers and this initiative has worked as a great morale booster for all the employees. It is important to note that Infosys which was under fire over the severance pay rise which was given to Vishal Sikka, announced a lower salary for newly appointed CEO Salil Parekh.
Salil Parekh mentioned that the market has evolved and digital is a strong element of the market. With regard to consulting in terms of focus, there is a lot of buying in the business. TCS recently expanded its relationship with Marks & Spencer to allow it to become a digital first business. Further, US authorities also mentioned that they are not considering any proposal that would force H-1B visa holders to leave the country. This has come as a huge relief for US techies. The announcement by the US Citizenship and Immigration Services came a few days after reports emerged that Trump was considering tightening the H-1B visa rules which could lead to deportation of 7,50,000 Indians.