New Delhi: IT services company Cognizant on Thursday said about 80 per cent of its eligible employees will receive a salary hike, effective November 1, 2025. The company, during its second quarter earnings, had said it plans to award merit-based salary increases for the vast majority of employees during the second half of 2025.
“These increases will be delivered up to, and including, the Senior Associate levels. The amount of these increases will vary, depending on individual performance rating and country,” a Cognizant spokesperson said on Thursday.
About 80 per cent of eligible employees will receive a salary hike, effective November 1, 2025, according to the company. In India, pay increases for consistent highest performers will be in the high single digits, the spokesperson added. Top performers will receive the highest increases.
Earlier this year, Cognizant paid most of its associates their highest bonuses in three years.
Cognizant recently reported better-than-expected growth with net income rising 14 per cent year-on-year to USD 645 million for the June quarter, as the Nasdaq-listed IT services firm raised the lower end of its full-year revenue growth forecast, pegging it at a 4-6 per cent range.
The revenue for the second quarter – it runs on a January-December fiscal year cycle – was at USD 5.25 billion, increasing 8.1 per cent year-on-year or 7.2 per cent in constant currency terms.
The cranking up of the lower end of the guidance band was on account of outperformance in the first half of the year, two mega deals won, as well as agentic solutions and AI unlocking new spends, the top management had then said.
“Our second quarter revenue performance exceeded the high end of our guidance range, underscoring the effectiveness of our strategy to build a resilient and durable portfolio that positions us to win in the AI era,” Cognizant CEO Ravi Kumar S had said during the company’s earnings call.
Third quarter revenue is seen between USD 5.27-5.35 billion, growth of 4.6 per cent to 6.1 per cent (or 3.5-5 per cent in constant currency). The full-year 2025 revenue is expected to be USD 20.7-21.1 billion, growth of 4.7-6.7 per cent (4-6 per cent in constant currency).
It is pertinent to mention here that India’s largest IT services company Tata Consultancy Services (TCS) last week informed employees that it will roll-out wage hikes for about 80 per cent of workforce, covering mid to junior levels.