Data expertise big Infosys Ltd. has mentioned that it has not selected the subsequent wage increment for its employees. Infosys had not too long ago applied a wage hike. Following the Q1 FY26 outcomes, Infosys’s Chief Monetary Officer Jayesh Sanghrajka remarked that the corporate had not too long ago distributed a “larger” variable pay part, which, together with the wage hike, has already affected the corporate’s margins by 100 foundation factors within the current quarter.
“Within the margin of this quarter, we had 100 foundation factors of impression on account of the wage hike in addition to the upper variable pay that we paid to our staff this quarter, in order that’s already completed. Having completed the wage hike very not too long ago, you realize, subsequent one we’ll must resolve when,” he elaborated.
The wage increments at Infosys have been applied in two phases, with the primary half efficient from January 2025 and the second section from 1 April 2025. Sanghrajka defined: “We did a wage hike already. First a part of our hikes was efficient January 2025; the second section is already rolled out, efficient 1 April 2025, and the impression of that’s already baked in.”
This transfer goals to retain expertise amid an growing attrition fee, which reached 14.4% in June 2025, in comparison with 12.7% in June 2024. The rising attrition fee is a priority, because it displays the variety of staff selecting to go away the corporate over a 12-month interval, indicating potential challenges in worker satisfaction or market competitors.
Workforce and hiring
When it comes to workforce dynamics, Infosys has seen its whole headcount rise to 323,788 staff as of 30 June 2025, indicating an addition of 8,456 staff year-over-year. “In case you have a look at our hiring numbers, our total headcount has remained fixed at this time limit, and our utilisation is at its peak at 85%. So, we’ll proceed hiring. We anticipate to proceed hiring in keeping with what we introduced in the beginning of the yr, so there isn’t any change there,” Sanghrajka said, reflecting the corporate’s dedication to sustaining workforce ranges and operational effectivity.
Infosys Q1 FY26 outcomes
Infosys, led by CEO Salil Parekh, reported an 8.7% year-on-year (YoY) rise in internet revenue to Rs 6,921 crore for the June quarter, surpassing analyst expectations of 4–7% development. In the identical interval final yr, the IT main had posted a revenue of Rs 6,368 crore.
Income grew 7.5% YoY to Rs 42,279 crore, up from Rs 39,315 crore. The working margin stood at 20.8%, marginally down from 21.1% a yr in the past. Each income and margin figures broadly met Avenue estimates.
The corporate raised its FY26 fixed foreign money income development steerage to 1–3%, from the sooner vary of 0–3%. It maintained its working margin outlook at 20–22%, in keeping with analyst projections.
Trade analysts recommend that Infosys’s resolution to delay additional wage hikes could also be a strategic measure to cushion its margins in opposition to rising prices whereas sustaining aggressive pricing. Regardless of this, the corporate has revised its fiscal yr 2025-26 fixed foreign money income development steerage, elevating the decrease finish to 1% whereas retaining the higher finish at 3%, indicating confidence in navigating the difficult financial atmosphere.
“Our efficiency in Q1 demonstrates the power of our enterprise AI capabilities, the success in consumer consolidation selections, and the dedication of our over 300,000 staff”, mentioned Salil Parekh, CEO and MD. “Our massive deal wins of $3.8 billion replicate our distinct aggressive positioning and deep consumer relationships”, he added.
Infosys shares closed 0.27 per cent larger at Rs 1,574.40 on BSE.