Infosys Begins FY26 Wage Hikes, Sets Fresh Hiring Target Amid Cautious Industry Sentiment

Infosys announced on Thursday that it has already begun implementing salary increases for FY26, starting from January, marking a proactive move at a time when industry peers like Tata Consultancy Services (TCS) and Wipro are taking a more cautious approach to compensation amid ongoing business uncertainty.

The company also revealed plans to hire over 20,000 freshers in FY26, after successfully meeting its FY25 hiring target of 15,000–20,000 new graduates.

“We are on track on wage hikes. Large part of the increments were rolled out in January, and the balance will be rolled out effective April 1. We plan to hire 20,000 plus freshers in FY26,” said Infosys CFO Jayesh Sanghrajka during the company's earnings conference. 

In contrast, TCS recently stated it will defer salary hikes this year, citing a need to evaluate the business climate before finalizing any increases. Wipro, which rolled out early wage hikes in September 2023, just months after its previous round in December 2022, said decisions on FY26 increments will be made closer to the rollout date.

Also Read: Gold Rate Today (April 18): Check Out Gold Prices In Delhi, Mumbai, Bengaluru, Ahmedabad, More Cities

Infosys Posts Modest Headcount Growth 

Infosys reported a modest headcount increase of 199 employees in the fourth quarter ending March 31, 2025, bringing its total workforce to 323,578—up from 317,240 in the previous fiscal year. For the full FY25, the company added 6,388 employees. The slight uptick in hiring comes despite broader macroeconomic headwinds, largely influenced by ongoing uncertainty tied to U.S. President Donald Trump’s tariff policies.

The company’s attrition rate on a trailing 12-month basis rose to 14.1 per cent in Q4, up from 13.7 per cent in the preceding quarter.

Amid workforce shifts, Infosys also laid off around 400 trainees at its Mysuru campus in February, after they failed to clear evaluation assessments across three attempts. According to a Moneycontrol report, this accounted for nearly half of the trainee batch onboarded in October 2024.

On the financial front, Infosys reported a 12 per cent year-on-year decline in net profit, which fell to Rs 7,033 crore in Q4 FY25, below market expectations. However, consolidated revenue for the quarter rose 7.9 per cent YoY to Rs 40,925 crore.

Looking ahead, the company has issued a cautious revenue growth outlook for FY26, projecting a range of 0–3 per cent in constant currency terms. This marks a shift from earlier optimism—back in January, Infosys had revised its FY25 guidance upward for the third consecutive quarter, increasing it to 4.5–5 per cent, up from the previous range of 3.75–4.5 per cent.

business