Over 90% of freshers opt for lower salary option, says Wipro official

More than 90% of the freshers have accepted lower salary options at Wipro in order to fast-track onboarding, the company's senior official said in a report by Economic Times.

In February this year, Wipro asked freshers to consider a lower starting salary. The IT major had written a letter to candidates who had been offered a salary package of ₹6.5 LPA, asking if they would be willing to join with a salary of ₹3.5 LPA. The move sparked a row in the IT sector.

Jatin Dalal, chief financial officer at Wipro told the financial daily, "The next-gen associates were given both the options and 92% of the campus hires chose to join Wipro at the original offer".

The IT major recently announced its Quarter 4 earnings. During Q4, the company witnessed a moderation in its attrition rate for four consecutive quarters in FY23.

Wipro's total headcount stood at 256,921 as of March 31. Wipro has reduced its headcount by 1,823. In the December quarter, the employee headcount stood at 258,744, while in the September quarter, the company's headcount stood at 259,179 employees.

Wipro recorded a decline of 330 bps in voluntary attrition from the previous quarter, landing at 14.1% on a quarterly annualized basis and at 19.2% on a trailing twelve months basis.

Besides, India's fourth-largest IT company sacked hundreds of fresher employees over poor performance in January this year. This year Wipro conducted an internal evaluation test in January and employees who scored lowest are asked to leave. Wipro terminated 452 freshers following the internal assessment. Late last year Wipro had also terminated around 300 employees for working with rival companies while still on the firm's payroll.

Meanwhile, the Bengaluru-headquartered company approved a share buyback worth ₹12,000 crore. The company has proposed to buy back 269.6 million equity shares worth 4.91% stake at ₹445 each, according to the BSE filing.

Azim Premji-backed Wipro posted a consolidated net profit of ₹3,074.5 crore in Q4FY23, which is a couple of crores lower than a profit of ₹3,087.3 crore a year ago same period.

However, Q4 PAT inched up by 0.71% from ₹3,052.9 crore in the preceding quarter.

Jatin Dalal, chief financial officer at Wipro told the financial daily, "The next-gen associates were given both the options and 92% of the campus hires chose to join Wipro at the original offer".

The IT major recently announced its Quarter 4 earnings. During Q4, the company witnessed a moderation in its attrition rate for four consecutive quarters in FY23.

Wipro's total headcount stood at 256,921 as of March 31. Wipro has reduced its headcount by 1,823. In the December quarter, the employee headcount stood at 258,744, while in the September quarter, the company's headcount stood at 259,179 employees.

Wipro recorded a decline of 330 bps in voluntary attrition from the previous quarter, landing at 14.1% on a quarterly annualized basis and at 19.2% on a trailing twelve months basis.

Besides, India's fourth-largest IT company sacked hundreds of fresher employees over poor performance in January this year. This year Wipro conducted an internal evaluation test in January and employees who scored lowest are asked to leave. Wipro terminated 452 freshers following the internal assessment. Late last year Wipro had also terminated around 300 employees for working with rival companies while still on the firm's payroll.

Meanwhile, the Bengaluru-headquartered company approved a share buyback worth ₹12,000 crore. The company has proposed to buy back 269.6 million equity shares worth 4.91% stake at ₹445 each, according to the BSE filing.

Azim Premji-backed Wipro posted a consolidated net profit of ₹3,074.5 crore in Q4FY23, which is a couple of crores lower than a profit of ₹3,087.3 crore a year ago same period.

However, Q4 PAT inched up by 0.71% from ₹3,052.9 crore in the preceding quarter.