Indian IT Industry(TCS, Infosys, Wipro) to hire 2.25 lakh associates in 2011

The Indian IT industry will add over 2.25 lakh employees in 2011 and will clock revenues of $71.7 billion by the end of the year, consulting firm Deloitte has said.

Revenues from the information technology and business process outsourcing industry will reach $71.7 billion for 2011 and account for 5.8 per cent of the country’s GDP, the firm said in its Technology, Media and Telecommunications Predictions for 2011.

The total number of employees working in the IT/ITeS (IT enabled services) sector will grow to 22.3 lakh this year, which translates into the addition of 2.26 lakh personnel, it said, adding that an additional 80 lakh people will get employment indirectly from the sector.

The Deloitte prediction follows a spate of announcements by IT majors like Infosys and TCS, among others, of stepping up recruitment in the current season as the global economy is going into a recovery mode.
Deloitte expects a higher growth in revenues from European and Asian markets compared to the traditional North American market this year.

It also added that the under-penetrated SME (small and medium enterprises) space will emerge as a "significant opportunity" in 2011.

Of the total $71.7 billion, up to $60 billion will come from the core software and services.
Source : Times of India

Cognizant gives 189% bonus to employees and top brass

IT major Cognizant has rewarded its top brass with bonuses and salary raises for calendar year 2010 as it closes the gap with India’s third-biggest software exporter Wipro.

The company beat analysts’ expectations to post a 43% rise in fourth quarter net profit backed by strong demand and positive vibes in the IT market.

Cognizant, in its 8k filings with the US SEC , said: "The 2010 annual cash incentive bonuses will be awarded to the individuals who serve as the company’s President and Chief Executive Officer, Chief Financial and Operating Officer and Treasurer, President and Managing Director, Global Delivery, Chief Operating Officer, Global Client Services and Senior Vice President, General Counsel and Secretary (the ‘Named Executive Officers’), in accordance with the company’s previously disclosed non-equity incentive bonus program."
Cognizant, which topped market estimates, has also increased the base salaries of these members for calendar year 2011. All the top five management members have been given a bonus of 189%. President and CEO Francisco D’Souza has got a bonus of $816,968 and his base salary has been revised to $566,500 for 2011 from $539,100 in 2010.

CFO Gordon Coburn will take home a bonus of $735,286 and a salary increase of $510,00, a rise of 95% compared to the previous year.

Ramakrishnan Chandrasekaran, president and managing director, Global Delivery will be given a bonus of $255,350 and his base salary would now be $1,77,000 ($1,68,500).

The company also rolled out bonus and raised base salaries of Rajeev Mehta, the chief operating officer for Global Client Services, and Steven Schwartz, senior vice president, general counsel and secretary.

The Nasdaq-listed company, which competes with TCS , Infosys and Wipro, will be doling out bonuses for its employees during the second week of March.