Infosys pays average 70% bonus for first quarter; employees await clarity on salary hikes

Fewer jobs, delayed onboarding: Why Indian IT sector is getting tougher for freshers

Employees at JL4 and JL5 are expected to receive the revisions over the next one to two months, while those at JL6 and above are likely to get them in January 2027.

Infosys disclosed employee-level performance ratings in December after completing its appraisal cycle covering November 2024 to October 2025.

It sent out salary revision letters in February, with most employees receiving increases of 5-8% based on their performance ratings, according to an earlier ET report.

Indian IT in a flux

India’s IT sector is going through a period of significant change in employment patterns – hiring, layoffs and salary increments. The rise of artificial intelligence has made certain roles less relevant, while creating new positions that require specialised skills.

The shift is reflected in more selective and slower hiring, uneven salary increases and a greater focus on recruiting people with specialised expertise.

Experts say the days of large-scale hiring and substantial pay hikes across the industry are coming to an end. IT companies are becoming more cautious about bringing in entry-level employees, even as they compete for experienced professionals with skills in specific areas.

For IT workers, the route to higher pay is changing as a result. Rather than depending on regular job changes or broad salary increases across the industry, career progression is increasingly being driven by expertise in emerging technologies.