Infosys, India's second largest IT firm, has begun giving special bonuses and incentives to top performers, as a part of new compensation structure, which has been put in place by the company this financial year.
The Bengaluru-based IT major is also planning to recruit nearly 20,000 engineering graduates from campuses in the next financial year 2016-17, roughly the same number of graduates it has hired from campuses this year, according to a top executive of the company.
"What we are trying to experiment with is â€” we have a regular compensation structure which is base plus bonus. And bonus component depends on how the company and individual has performed. So, that structure will continue â€” in addition, every quarter based on what we think is imperative, we're experimenting (with something new) and this changes every quarter. So suppose, this quarter there is an important metric, we are announcing a (separate) incentive," said Infosys Chief Operating Officer UB Pravin Rao in an interview to The Economic Times on Thursday.
Infosys has started using the special incentive structure in the current fiscal year to reach "short-term quarterly targets more effectively", Rao said.
"We're saying, if you meet X million of revenue, then we'll clear this kitty and over and above the net, we'll give them this much. So those are incremental bonuses or incentive schemes that we've come up with, just to make sure that there is more alignment to some of the short-term things we're trying to do, in addition to regular bonuses which is based on overall performance," Rao said.
The company is also looking to replace its current startup incubator program with an "accelerator-like program within the company for startups", said sources familiar with the matter.
Rao said that the discussions regarding the launch of accelerator were at a "very early stage" and the company is yet to finalise the "shape and form" of the program.
"What shape and form it will take, it's too early to comment on that. Right now the focus is on investing in attractive startups," said Rao.