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Rediff News  All News  » Business » Satyam employees resent 'selective' pay hikes

Satyam employees resent 'selective' pay hikes

June 11, 2009 09:37 IST

Even as its new owner, Tech Mahindra, is mulling ways of trimming its surplus staff with sensitivity, some employees have alleged that close to 20 employees of the troubled Satyam Computer Services have been promoted to the I-1 and I-2 bands (representing assistant vice-president and vice-president levels) and also received a salary hike of 20-40 per cent.

The timing has caused much resentment with some employees taking up the matter with the human resources department. Business Standard is in possession of the email which the employees had sent to the HR department.

'Senior officials from various divisions, including the real time leadership council, Satyam School of Leadership, Satyam Learning Centre and horizontal competency unit-application development maintenance services integrator's office were given healthy raises, while 10,000 employees are on bench,' reads the email.

Although sequentially, Satyam has netted a 14.3 per cent loss in its revenues and a 72 per cent dip in net profit, some employees claim that the senior management from the SSL and SLC have been given paid-sabbatical options.

"Our annual appraisal for FY10 was initiated just about three weeks ago, and we are in the middle of the process. So, without the process being completed, there's no question of any hike or promotion being considered," a Satyam spokesperson said when contacted.

A senior board member, on condition of anonymity, said: "I am sure the new owners would have started (the) assessment (process). Two-three months ago, there were some pending reviews done before the whole Satyam episode started and the new board had approved it. I am not aware of any new appraisal going on."

Satyam had 41,622 employees as of March 28, 2009. The company lost over 2,340 employees in the January-February month. From January 9 to March 31, the company paid Rs 1,026 crore in salaries.

Priyanka Joshi and Shivani Shinde in Mumbai