After reported layoffs, Cognizant delays promotion and salary hikes by 3 months

Cognizant Technology Solutions (CTS) is back in the news once again. After the American multinational firm was accused of laying off about 6,000 workers in India to ramp up hiring in its home country, it is now being said that CTS has deferred the promotion and salary hikes of its employees by three months. The main cause of the move is said to be higher business costs, visa curbs, and slow growth.

While the employees often get promotion and hikes around June each year, the IT giant informed its employees through an email that promotion and salary hikes would be effective only from October 1 this time, reported Business Standard.

Cognizant's chief people officer Jim Lennox told the



employees that they would get a percentage hike on their basic pay up to the managerial level and employees at a senior level would receive a "lump sum" amount. Additionally, they will also get a bonus based on their performance.

Cognizant has of late been garnering a lot of attention for the reported layoffs. While Cognizant president Rajiv Mehta told the  that the company had no layoff plans, he had earlier revealed that it does intend to ramp up hiring in the US. "We are shifting our workforce rapidly in the US with more US jobs and US delivery centres," he told PTI. Additionally, he attributed the shift to "clients' need for co-innovation and co-location."