Wipro reduces salary offer from Rs 6.5 lakh per annum to Rs 3.5 lakh for some freshers

22 Feb 2023 , 07:29 AM

Nascent Information Technology Employees Senate (NITES), an employee union, called Wipro’s decision to reduce wage offers to fresh recruits awaiting onboarding by roughly 50%  ‘unjust’ and ‘unacceptable’ and urged that the IT corporation reconsider its action.

Market observers claim that Wipro’s choice indicates the macroeconomic uncertainty at the global level as well as the difficulties facing the tech industry’s demand environment.

Wipro, a major provider of IT services with headquarters in Bangalore, recently contacted individuals to whom it had previously extended an offer of Rs6.5 lakh per annum (LPA) and asked them if an offer of Rs3.5 in annual remuneration would be preferable. These applicants apparently awaited being hired.

The union representing workers in the IT sector, NITES, has denounced the action, calling it ‘unjust’ and ‘contrary to the values of fairness and openness.’ NITES has urged management to re-evaluate its choice and hold substantive talks with the union to get to a mutually agreeable conclusion.

In a recent email to candidates who had finished the Velocity training program successfully, Wipro stated: ‘We continue to evaluate the world economy and client needs, which influence our hiring decisions, just like other businesses in our sector. We value your perseverance and dedication as we work to find you a position to join.’ 

Wipro continued by stating that ‘Now, we have a few project engineer positions open for hiring, each with a salary of Rs3.5 lakh. We want to give everyone who graduated from Velocity in the FY23 cohort the option to choose one of these positions.’

According to Wipro, ‘While we work to honor all outstanding offers made, this current offer creates an immediate opportunity for candidates to start their careers, build their expertise, and learn new skills – both through the interesting and innovative work that we do, as well as our extensive learning and development program.’

According to Wipro, it is dedicated to the development and success of every employee and is eager to welcome this new cohort of recent graduates.

‘Without prior agreement and consultation, the decision to reduce employee compensation is not only unfair but also goes against the values of transparency and justice. It is wrong that the employees are being exclusively responsible for the financial struggles of the organisation ‘NITES President Harpreet Singh Saluja stated to ET.

NITES has urged management to rethink its choice and hold substantive talks with the union to come to a win-win conclusion.

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