Cognizant’s: Hike in Pay

Many IT firms, during this difficult period of Coivd 19 have increased salary for
its employees.
Cognizant was also one of them to announce the hike in the pay. They announced
a pay hike of as much as 25%. Due to the black swan event many companies are
helping their employees in their time of need. Cognizant said that, they will
increase the pay up to the associate level and a 25% base salary hike from 1 St
April 2020. The American IT firm said it is a sign of our gratitude to the consistent
effort of the employees even during the pandemic.
“Despite this turbulence, which affects both you and your families, you have risen
to the challenge of serving our clients with empathy, initiative, integrity, and
courage — all while supporting and uplifting one another. I am deeply grateful
to all of you for your daily acts of heroic leadership” – Cognizant CEO Brian
Humphries.
It was stated that, ‘even though this will have a business impact, it is the right
thing to do’. We can also see the humanity, when the company helped its
employees in the time of the 2015 Chennai floods.
While the upgrade in pay will affect the business of the firm, it recognised the
employees who worked the long hours from home. This working from home and
long hours can also lead to increase in the efficiency of the employees. Hence,
while it’s a minus point at this time it will lead better benefits to the company
overtime.
Airtasker, a company performed a survey on the efficiency due to work from
home and they came to a conclusion.
-Remote workers take 22 minutes a day for breaks, compared to 18 minutes
for in-office workers

-They also worked an average of 1.4 more days every month, or 16.8 more
days every year.

Hence, work from home increased the work efficiency and the hike in pay
contributed to the employees loyalty if the firm.