According to an internal email, Wipro plans to give out 87 percent of its variable quarterly pay component while awarding it to over 80% of the company's workforce.
ET has reviewed a copy of the email sent to employees, which states that rewards will be given out across band A-B3 levels—for freshers and team leaders alike.
Payouts will be based on the staff’s performance in their respective units, as per an email sent to all employees. The company awarded 100% variable pay for last quarter's targets.
Wipro has not released a statement about the incident.
“To drive our common goals, our business-linked variable pay is based on a quarter’s performance against revenue, bookings, and operating margin,” the email read.
The Bangalore-based IT services firm achieved 0.6 percent growth in sequential revenue, 23.7 percent sequential increase in bookings, and an improvement of 16.3% in the operating margin—though this is still below (Wipro's) planned target."
The variable pay will be released along with February's payroll, and a minimum usage level of 50% is needed for billable and digital operations platform (DOP) employees to receive the payout.
Leading competitor Tata Consultancy Services recently announced that it would provide 100% variable pay for 70% of its employees for the third quarter that ended December 31.
