Wipro shares nosedived over 9 pc after missed earnings expectations
Shares of IT major Wipro nosedived on Monday by nearly 9.3 per cent over missed expectations in its April-June quarter results and a weak guidance for the next quarter.
IT services major Wipro is planning to give away New Year gifts. The Bengaluru-based firm is going to give wage hikes to junior employees with effect from January 1, 2021.
Along with this, the company has also rolled out promotions for high performers in bands up to B3, effective December 1, 2020.
Wipro categorises its employees in five bands (A to E), with sub-rankings within each band based on their work experience. Employees up to the B3 band (juniors) account for the biggest share of Wipro’s 1.85-lakh staff.
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“Our employees have shown remarkable resolve and resilience in ensuring seamless business continuity and maintaining high standards of service in these challenging times…We are also initiating merit salary increases (MSI) for all eligible employees in Band B3 and below, effective January 1, 2021,” Wipro said in an e-mailed statement.
It added that all eligible employees in band C1 and above will receive MSI effective June 1, 2021 “as is the usual practice”.
The company, however, didn’t comment on the quantum of hikes.
“Separately, Wipro rolled out promotions for high performers in bands up to B3 effective December 1, 2020. Close to 7,000 employees in bands up to B3 have been promoted,” the statement said.
Wipro has announced 100 per cent variable pay linked to business metrics for all employees for both the third quarter (October-December) and fourth quarter (January-March) of financial year 2020-21, it noted.
This follows the 100 per cent variable pay that was paid out for the second (July-September) quarter, it added.
Due to the pandemic followed by the economic slowdown, Wipro had deferred annual increments and promotions at the beginning of the fiscal.
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