MUMBAI : E-commerce platform Flipkart has rejigged its increment policy, splitting annual salary increases into two tranches rather than have those reflecting in an employee’s pay structure. In an effort to plug attrition, especially at the senior levels, the company will also roll out 100% bonus to its employees.
According to a senior Flipkart executive, the Bengaluru-based e-commerce firm has detailed out the new compensation structure to its employees in a letter, which Mint has reviewed.
Flipkart has had a spate of layoffs recently and expects these measures to help retain employees across levels.
Per the new policy, if an employee is awarded a 5% annual increment, the overall salary will not reflect the increased amount. Instead, the hike equivalent will be split into two tranches, with the first amount paid out in April and the next in the second half of the year.
These will be “merit linked payouts”, Flipkart has said in its letter. Employees being promoted will get “increments as usual across grades”, it said.
However, Flipkart’s employees will receive a 100% bonus, as against the 80% they were given last year, excluding those who were at the levels of senior vice president and above.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it’s all here, just a click away! Login Now!
Download The Mint News App to get Daily Market Updates & Live Business News.
Published: 21 Mar 2024, 02:23 PM IST