Infosys Rolls Out Salary Hikes Starting October, Targets 20,000 Freshers

BENGALURU, India — Infosys Limited announced it will begin rolling out annual salary increases starting in October. The Bengaluru-based IT services exporter also reiterated its commitment to recruit 20,000 fresh engineering and technology graduates during the ongoing financial year.

The compensation strategy comes as the technology sector navigates broader macroeconomic uncertainty, client spending adjustments, and a structural pivot toward generative artificial intelligence. Infosys management confirmed that while most employees will receive compensation revisions in October, senior personnel will see their appraisal cycles implemented in January.

Phased Appraisal Strategy and Headcount Dynamics

The compensation revision exercise will be executed across multiple phases to manage operational costs while retaining key tech talent. Chief Financial Officer Jayesh Sanghrajka noted that spreading out salary adjustments allows the firm to balance employee retention with margin guidance.

In parallel, campus recruitment remains a priority to reshape the company's internal talent pipeline. Having already onboarded over 4,000 fresh graduates in the April–June quarter, Infosys expects its campus drive to fill critical junior engineering and developer roles throughout the remainder of the fiscal year.

Despite a slight uptick in trailing 12-month attrition to 13.0%, the company's workforce remains largely stabilized at approximately 328,000 employees.

AI-Driven Demand Shift and Revenue Integration

The company’s hiring strategy reflects a deliberate realignment toward artificial intelligence. AI-related services contributed 8.2% to overall quarterly revenue, up from 5.5% in prior quarters, driven by enterprise adoption of automation, custom language models, and cloud modernization projects.

To support this technical shift, entry-level hiring increasingly targets specialised roles such as Digital Specialist Engineers and Specialist Programmers. Management stated that building an "AI-native" workforce allows the firm to maintain competitive deal delivery across financial services, manufacturing, and cloud computing contracts.

Official Announcements and Corporate Filings

According to official earnings releases and press conference disclosures filed with market regulators:

• Compensation Review: Salary revisions for non-executive staff commence in October, with senior managerial revisions following in January.

• Recruitment Drive: The 20,000-fresher hiring target for the fiscal year remains fully intact across India-based technology centers.

• Financial Guidance: Operating margin expectations are maintained within the 20% to 22% target corridor.

Executive Statements

During the quarterly press interaction, executive leaders outlined the organization's strategic direction:

"Most of the employees will receive salary increases in October, with senior staff receiving revisions in January," stated Jayesh Sanghrajka, Chief Financial Officer of Infosys. "We are managing cost structures prudently while maintaining investments in our people."

Addressing technological adaptation, Chief Executive Officer and Managing Director Salil Parekh stated:

"Our artificial intelligence business is seeing strong momentum, with AI services contributing significantly to total revenue," said Salil Parekh, Chief Executive Officer of Infosys. "We continue to strengthen our digital native capabilities to serve evolving client requirements."

Why It Matters

The decision by India’s second-largest IT services exporter to resume phased compensation hikes provides a positive signal for tech sector employment across Asia's third-largest economy.

For IT professionals and engineering graduates, the commitment to hire 20,000 freshers indicates a stabilizing recruitment environment following extended periods of hiring freezes across global technology firms. For investors, maintaining operating margins while scaling AI capability demonstrates financial discipline amid variable discretionary technology spending.

Key Facts at a Glance

• Salary Hike Timeline: Commences in October for the majority of staff, extending into January for senior employees.

• Fresher Hiring: Target set at 20,000 new graduates for the fiscal year, with over 4,000 onboarded in Q1.

• AI Integration: AI-related digital services account for 8.2% of total operational revenue.

• Staff Retention: Trailing 12-month IT services attrition held steady at 13.0%.

Frequently Asked Questions (FAQ)

When will Infosys employees receive their salary hikes?

According to official company announcements, salary revisions will be implemented in phases. Most staff will receive increases starting in October, while senior employees will receive theirs in January.

How many freshers is Infosys planning to recruit this year?

Infosys plans to onboard 20,000 fresh graduates during the current financial year, having already recruited over 4,000 in the first quarter.

What is the current attrition rate at Infosys?

The last-twelve-month (LTM) attrition rate for IT services stood at 13.0%, reflecting workforce stability across its domestic and international units.

Source: Official press releases, regulatory filings, and earnings transcripts from the Infosys Investor Relations Portal, the BSE Limited, and the National Stock Exchange of India (NSE).