Infosys Announces Robust 85% Average Bonus Payout for Q3 FY2025-26
In a significant move to reward its workforce, software giant Infosys has declared an average organization-wide performance bonus payout of 85% for the quarter ended December (Q3 FY2025-26). According to reports, a substantial portion of employees received higher variable pay, with the bonuses set to be disbursed along with their February salaries, as confirmed in a company email to staff.
Strong Business Performance Drives Higher Payouts
The enhanced payout comes on the heels of a quarter characterized by robust business performance and notable deal wins. This development has positively impacted employee sentiment, especially during a period when technology stocks faced considerable pressure on stock exchanges. An employee expressed optimism, stating, "This will hopefully build a positive momentum for the sector."
Sources familiar with the matter revealed that at an individual level, employees received bonuses ranging between 75% and 100%. One employee shared with ET that his payout was approximately 15% higher compared to the previous quarter. He remarked, "I have been with Infosys for three years now, and I have never got 100% bonus pay," adding that some colleagues achieved the full 100% this time.
Comparison with Previous Quarters and Employee Expectations
This quarter's average payout of 85% marks a notable improvement, not only as the best in the current financial year 2025-26 but also surpassing any quarter from the last fiscal year. In the July-September quarter, Infosys had paid an average of 75% of the eligible or target bonus to employees.
Following this positive development, many employees are now hopeful for similar advancements in salary hikes. Infosys had previously released employee-wise ratings in December after completing appraisals for the period from November 2024 to October 2025. The company had issued salary revision letters in February last year, with hikes typically ranging between 5% and 8% for most employees based on performance ratings.
Management's Optimism and Future Outlook
Chief Human Resources Officer Shaji Mathew had hinted at the possibility of higher variable pay during a town hall meeting last month, aligning with the company's optimistic stance. In January, while announcing its third-quarter results, Infosys raised its revenue forecast, citing strong quarterly performance and favorable tailwinds.
Ahead of the town hall, several employees had raised queries regarding pay increases and communication timelines, reflecting the anticipation within the workforce. Infosys, which employs approximately 323,000 people, has not responded to requests for further details on the bonus payout specifics.
This announcement underscores Infosys's commitment to recognizing employee contributions amidst a challenging market environment, potentially setting a precedent for the technology sector.
