BENGALURU: Accenture is skipping wage hikes this time round for its India-based staff. It has 3 lakh staff in India. Accenture can be deferring promotions to these on the ranges of managing administrators (MDs) and appointing senior managing administrators (SMDs) till June subsequent 12 months. The promotions are efficient December 1. “We are postponing our promotions to and within MD, and appointments to SMD, until June 2024 in order to allow ourselves to return to growth so that promotions are affordable.” Last year, Accenture said 1,214 people were promoted to MD and 119 people to senior MD globally. “Upto career level 5 (senior roles), we will do promotions in December 2023, lower than last year reflecting our growth expectations,” the email sent to employees said.
Accenture has forecast a tepid revenue growth of 2% to 5% in the 2024 fiscal signalling a subdued business environment as clients cut back on discretionary spending. It also expects revenues for the first quarter of the 2024 fiscal to be in the range of $15.8 billion to $16.4 billion, translating into a growth of -2% to 2%. “Given the context of our performance, we will not be providing any stay-at-level (base pay) increases this year except where legally mandated or committed in a few critical skill areas.” “As shared in our FY23 results, we experienced a macro economic environment that was more challenging than we anticipated at the beginning of FY23 and our growth was lower than planned resulting in the need to make some hard decisions around promotions and rewards,” the e-mail stated.
When TOI reached out to Accenture, the corporate stated, ““Our rewards philosophy is to present market related pay based mostly on the abilities and places the place we function. We additionally contemplate a wide range of elements, together with the macroeconomic surroundings in making our choices round pay and advantages.“
Accenture has forecast a tepid revenue growth of 2% to 5% in the 2024 fiscal signalling a subdued business environment as clients cut back on discretionary spending. It also expects revenues for the first quarter of the 2024 fiscal to be in the range of $15.8 billion to $16.4 billion, translating into a growth of -2% to 2%. “Given the context of our performance, we will not be providing any stay-at-level (base pay) increases this year except where legally mandated or committed in a few critical skill areas.” “As shared in our FY23 results, we experienced a macro economic environment that was more challenging than we anticipated at the beginning of FY23 and our growth was lower than planned resulting in the need to make some hard decisions around promotions and rewards,” the e-mail stated.
When TOI reached out to Accenture, the corporate stated, ““Our rewards philosophy is to present market related pay based mostly on the abilities and places the place we function. We additionally contemplate a wide range of elements, together with the macroeconomic surroundings in making our choices round pay and advantages.“
