Shockwaves are rippling through the IT industry as Cognizant, one of the sector's giants, has handed out annual salary hikes as low as 1%—and that too after a four-month delay.
As per the report by Economic Times, This move has ignited widespread discontent among employees, who argue that these meager increments are disproportionate to their hard work and contributions.
Cognizant was already under fire for offering freshers an annual salary of just 2.52 lakh rupees, a decadal low. Now, with these paltry hikes, the Nasdaq-listed company finds itself at the center of yet another controversy.
Despite reporting a 22.2% year-on-year increase in profit for its June quarter, the New Jersey-based company, which employs 2.5 lakh people in India, justified the minimal hikes by citing economic challenges. However, this decision is likely to fuel attrition rates as employees seek better opportunities elsewhere.
As Cognizant’s move raises alarms, the entire industry is watching closely. Stay tuned for more updates on this unfolding story
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