has halted its appraisal for employees with over six years of experience as the industry grapples with both global and domestic challenges. The suspension decision is pending a management review, according to a report on The Economic Times .
The senior level employees will have to wait for another two quarters or so before any final decision on wage hike comes through. Other employees will get their appraisal letters in March, but the hike will be applicable from July.
The media report says that the company informed its decision to the employees via a webinar chaired by L Ravichandran, chief operating officer of the company.
Confirming the news to ET, Tech Mahindra’s management said that wage hikes have not been postponed indefinitely and a management review is awaited before any decision on the subject is made.
Mahindra’s management also said that the decision to suspend hikes has nothing to do with its third quarter numbers. In Q3, the company reported 4 percent sequential rise in revenue to USD 1.12 billion while the profit rose 30.8 percent to USD 126.3 million.
In the same sector, Infosys
is looking to end the practice of giving revenue forecast on back of issues while estimating spend of its US clients, says a report in today’s Livemint .
The company has already stopped giving quarterly guidance in 2012 and is now contemplating halting its year guidance as well. Another IT major, TCS
does not give guidance while Wipro only gives quarterly guidance.
Changing technology, uncertain political conditions as well as shift from time and labour to market innovation are the current bumps for these companies.