With the two recruitment processes running almost simultaneously, the hiring of fresh graduates with three-year non-engineering/information technology degrees increased significantly and was widely publicized as part of Cognizant’s salary package for newcomers.
In response to social media criticism over its ₹2.52 lakh annual salary offer for new hires, IT giant Cognizant clarified on Sunday that it actually offers salaries ranging from ₹4-12 lakh to fresh engineering graduates, according to a report by PTI. The amount being discussed online pertains to non-engineering undergraduate degree holders.
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The company also faced ridicule for providing annual salary hikes as low as 1 percent. However, this figure represents the lower end of the 1-5 percent annual increments that are awarded based on individual performance.
Cognizant recruits fresh engineering and non-engineering/IT graduates annually for a variety of roles.
With the two recruitment processes running almost simultaneously, the hiring of fresh graduates with three-year non-engineering/information technology degrees increased significantly and was widely publicized as part of Cognizant’s salary package for newcomers.
“Our recent job posting for talent from non-engineering backgrounds, with a 3-year undergraduate degree has been grossly misrepresented. This job posting, with compensation of ₹2.52 lakhs annually, was only for candidates with a 3-year undergraduate degree and not for engineering graduates,” Surya Gummadi, EVP and President, Cognizant Americas, was quoted as saying by PTI.
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Cognizant recruits individuals with non-engineering undergraduate degrees for administrative and other positions. They invest significant time and resources in enhancing their skills and providing IT training, after which these individuals are placed in various roles within the company.
“Our annual compensation for fresh engineering graduates ranges from ₹4 lakhs to ₹12 lakhs annually, depending on the category of hiring, skill set, and advanced industry accredited certifications,” Gummandi added.
Cognizant’s salary package for engineering graduates is among the top in the industry, and at certain levels, it surpasses that of its competitors.
“The compensation we offer for engineering graduates is highly competitive within the IT services peer group. We have been recruiting and upskilling freshers from engineering institutions as well as colleges offering degrees in science, arts, and commerce. Today, as AI increasingly powers modern businesses, we are creating new pathways for talent to thrive in India’s technology industry,” he said.
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Gummadi, who started at Cognizant as a fresh graduate 25 years ago and has since advanced to lead the geography that constitutes three-fourths of the company’s revenue, stated that the firm’s comprehensive training program has been highly beneficial to newcomers across the organization.
“When we hire for entry-level roles, we invest approximately ₹2 to 3 lakhs per associate in the initial years to train, mentor and upskill in advanced technologies. This is for both engineering and non-engineering associates. Hundreds of our associates, who joined us with a 3-year undergraduate degree, today hold key positions from manager to assistant vice president across the company,” he said.
Regarding annual increments, Cognizant stated that it puts in considerable effort to remain competitive with its compensation strategy.
“The merit increases for this cycle are tied to both individual performance and macro industry dynamics. This year, we are one of the few IT companies in India that have delivered increments and bonuses for employees. This recent pay hike is the 4th that most Cognizant’s associates have received in the past 3 years. Moreover, these hikes are just one component of the comprehensive total rewards,” he added.
(With inputs from PTI)
