Infosys Employees Get 70% Average Variable Pay for Q1 FY27

Infosys has paid an average variable pay of 70% to eligible employees for Q1 FY27, covering the April-June 2026 quarter. The average payout is unchanged from the previous quarter but is around 10 percentage points lower than the same quarter last year, according to reports.

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The latest payout comes as Infosys continues to manage employee compensation amid changing client demand and an uncertain technology spending environment.

Performance Ratings Determine Payout

According to reports, Q1 variable pay ranged between 65% and 80%, depending on employee performance ratings. Employees rated “commendable” were expected to receive close to 80%, while those rated “met expectations” were expected to receive around 65%.

Infosys had also paid an average variable payout of 70% in Q4 FY26. However, the latest figure is lower than some payouts reported during FY26, including an average of 80% in Q1 FY26 and 75% in Q2 FY26. The company reportedly paid an average 85% payout in December.

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Also Read: Infosys Salary Hike 2026: October Hike Is Coming, But How Much?

The latest variable-pay information is based on reports citing people familiar with the matter. Infosys did not respond to Financial Express’ request for comment.

Infosys Reports Mixed Q1 FY27 Performance

The payout comes after Infosys reported its Q1 FY27 financial results in July. The company reported revenue of ₹48,211 crore, up 3.9% sequentially and 14% year-on-year. Net profit stood at ₹7,769 crore, down 8.6% from the previous quarter but up 12.2% year-on-year.

Infosys revised the upper end of its FY27 constant-currency revenue growth guidance to 3% from 3.5%, retaining the lower end at 1.5%. Its operating margin guidance remained unchanged at 20% to 22%.

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Salary Revisions to Begin from October

Variable pay is not the only compensation development being watched by employees. Infosys has indicated that annual salary revisions will begin from October 2026, with senior employees expected to receive their revisions in January 2027.

The company has not yet disclosed the percentage increase for the upcoming salary revision. Last year, Infosys reportedly provided salary increases in the range of 6% to 8% for its India workforce.

With variable pay holding at 70% and salary revisions approaching, compensation remains an important area of focus for Infosys employees as the company balances talent investments with business conditions.