IT major LTIMindtree has decided to stagger its FY26 salary increments, with 50% of employees receiving their hikes from January 1, 2026 and the remaining 50% from April 1, 2026, as per the Moneycontrol news report.
This follows previous delays in their wage revision schedule, reflecting ongoing shifts in the tech sector’s dynamics.
During its Q2 earnings call on October 16, 2025, LTIMindtree announced a significant shift in its salary hike cycle. CEO Venu Lambu revealed that employee wage hikes will now be distributed over 2 phases.
The first tranche, covering 50% of employees, will be effective from January 1, 2026, while the remaining staff will see increments from April 1, 2026. Lambu pointed out that this approach may become the new standard, replacing the earlier pattern of implementing hikes across all employees in a single quarter.
This move comes at a critical juncture for the IT industry. According to the CEO, the sector is navigating through a key inflection point influenced by technologies such as Artificial Intelligence.
The evolving wage strategy is part of the company’s broader plan to align workforce capabilities with the surging demand for AI skills. He further said that upskilling and cross-skilling employees will play an integral role in LTIMindtree’s transformation journey.
Read More: HCLTech to Implement Employee Pay Hikes from October Amid Strong Growth!
This is not LTIMindtree’s first instance of delayed wage hikes. In FY25, increments were pushed to the October to December period, deviating from their usual April cycle. Similarly, in FY24, the company had postponed hikes to August.
These delays suggest a broader pattern linked to changing business strategies and cost management in a challenging macroeconomic environment.
Despite the revision delays, the company posted solid financial results. For the July to September 2025 quarter, LTIMindtree reported a consolidated net profit rise of 10.3%, reaching ₹1,381 crore.
Additionally, its quarterly revenue exceeded ₹10,000 crore for the first time, marking over 10% year-on-year growth compared to ₹9,432.9 crore in Q2 FY25.
LTIMindtree’s decision to stagger employee salary hikes reflects a shift in traditional compensation models driven by economic and technological transformations. With AI adoption accelerating and business strategies evolving, firms are reshaping workforce models, and LTIMindtree is leading this transition with its new increment structure.
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Published on: Oct 17, 2025, 10:21 AM IST
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