New Delhi, Jan 6 || IT major Infosys has reportedly deferred the annual salary hike in the fourth quarter of FY 2024-25. The company last implemented a salary hike in November 2023.
The delay in the salary hike, which is usually implemented at the beginning of the year, indicates that the domestic IT sector is still facing uncertainties.
The reason cited for slowdown is that clients are not increasing their IT spending due to macro-economic situations, including potential tariffs under the new Donald Trump administration that will begin working from January 20.
Not only Infosys but some other large IT companies like HCL Tech, LTI Mindtree and L&T Tech Services also did not increase salaries in the second quarter this year to manage costs and profits.
Regarding Infosys, Motilal Oswal Financial Services had said in its pre-earnings note that Infosys' margins may decline in the December quarter.