News: Infosys redefines HR practice with focus on tenure, performance

Performance Management

Infosys redefines HR practice with focus on tenure, performance

Infosys Technologies, the quintessential torchbearer of Indian IT industry, has created history again—this time by formulating a brilliant HR initiative that beats all other orthodox methods of rewarding employees hands down. The new plan links bonuses with tenure and performance where the employees would be awarded with long-term incentives—which is around 20-40% of their salaries—only after spending two to three years with the organization. The new model replaced the conventional Employee Stock Ownership Plan (ESOP), through which the company made numerous millionaires out of its employees. As Nandita Gurjar, Senior Vice-President and Group Head, HR, Infosys puts it, “Stock options killed the incentive to work. People with whom we shared unparalleled wealth have left us and that we believe is not healthy,” so it does not ring a bell with the battle-hardened HR team of Infosys anymore.

Infosys Technologies, the quintessential torchbearer of Indian IT industry, has created history again—this time by formulating a brilliant HR initiative that beats all other orthodox methods of rewarding employees hands down. The new plan links bonuses with tenure and performance where the employees would be awarded with long-term incentives—which is around 20-40% of their salaries—only after spending two to three years with the organization. The new model replaced the conventional Employee Stock Ownership Plan (ESOP), through which the company made numerous millionaires out of its employees. As Nandita Gurjar, Senior Vice-President and Group Head, HR, Infosys puts it, “Stock options killed the incentive to work. People with whom we shared unparalleled wealth have left us and that we believe is not healthy,” so it does not ring a bell with the battle-hardened HR team of Infosys anymore.

Read full story

Topics: Performance Management, Employee Relations, #Updates

Did you find this story helpful?

Author

QUICK POLL

Post-COVID, which aspect of work will technology impact the most?

2 months free subscription
q_auto,f_auto/v1593523489/mag-july-2020.png

Subscribe to all new People Matters HR Magazine

.

Subscribe
And Save 59% plus Two months free

Subscribe now

Interested in daily dose of short & crisp insights from the world of work?