Wipro to Withhold Salary Increases for ‘Top Performers with Higher Compensation Packages’ Amid Ongoing Cost Reduction Efforts. Additionally, the company has mandated its employees to work from offices for a minimum of three days per week
Throughout this year, numerous tech giants have implemented cost-cutting measures, including large-scale layoffs, hiring freezes, and withholding salary hikes for employees. Wipro, a prominent software company, joined this trend by making headlines in February for reducing job offers to freshers. Recently, the company introduced a hybrid work model, requiring employees to be present in the office for at least three days a week. Now, reports suggest that Wipro may also skip providing pay hikes to certain “top-performing employees with higher compensation packages” during the upcoming salary revisions in December.
An internal memo seen by Reuters reveals that Wipro will not offer hikes to “top performers with higher compensation” based on the business’s affordability in the upcoming salary review. The company communicated this decision to employees through an email, emphasizing a “selective Merit Salary Increase (MSI) rollout.”
In addition to the pay-related announcement, Wipro had earlier mandated a return to offices and implemented a hybrid work policy. According to the policy, effective from November 15, 2023, employees must be present in the office for at least three days each week. Wipro’s Chief Human Resources Officer, Saurabh Govil, stated in an email that this move aims to promote face-to-face collaboration, reinforce corporate culture, and enhance communication.
The email also warned employees of consequences if they do not adhere to the new work policy, starting from January 7, 2024.
Wipro’s decision to reduce freshers’ job offers by nearly 50 percent in February stirred controversy. Originally offering a salary package of Rs 6.5 lakh to freshers, the company cited a ‘changing macro environment’ as the reason for altering compensation. Despite facing criticism, Wipro allowed freshers to decide whether to accept the revised offer. In an April interview with Economic Times, Wipro’s Chief Financial Officer, Jatin Dalal, revealed that 92 percent of freshers chose to join the company at the lower salary offer to expedite the onboarding process. Dalal emphasized that decisions regarding freshers were made with fairness and transparency, giving them the option to choose based on their preferences.
