LTIMindtree Navigates Wage Hikes Amid Revenue Growth

LTIMindtree will begin phased wage hikes covering half its workforce starting Q4 FY26. This strategy spreads the financial impact over two quarters, supported by operational efficiencies. The company reported a slight profit dip due to new Labour Codes costs but achieved significant revenue growth.

IT services giant LTIMindtree is set to commence its wage hike cycle from the fourth quarter of FY 2026, impacting 50 percent of its workforce in a phased approach.

The wage increments are slated to roll out over Q4 FY26 and Q1 FY27 to help mitigate potential impacts on the company's operating margins. According to Chief Financial Officer Vipul Chandra, the firm will manage its wage hike through phased increments, starting with half of the workforce.

Meanwhile, CEO Venu Lambu emphasized the two-stage wage increment process as the company's new normal strategy amidst industry challenges. Despite a 10.5 percent decline in net profit due to provisions for new Labour Codes, LTIMindtree's revenue rose by 11.6 percent, with hopes for double-digit growth as the fiscal year concludes.

(With inputs from agencies.)