ESOPs, promotions, pay hikes back at Satyam

Three days after announcing the reinstatement of the variable portion of staff salaries, Mahindra Satyam (earlier, Satyam Computer Services) has begun re-introducing other benefits, including employee stock option plans (ESOPs), beside giving promotions and salary hikes across different bands (grades).

“Based on performance parameters, all associates (the company term for staffers) in the B-band (heads who handle the full lifecycle of a business) and above are being issued ESOPs,” a top official told Business Standard.

Mahindra Satyam, now treading a recovery path after it was hit by a big scandal involving its top management, had withdrawn variable pay in April this year. On September 9, the company had issued a statement that it would also re-introduce a staggered cash bonus for a select set of junior associates, along with some reward and recognition programmes.

“The company has also decided to give promotions and salary hikes to associates in the S-band (assistant managers) and T-band (managers and senior managers). In all, 30 per cent of the associates in these two bands will be promoted and given decent salary hikes,” the official said, while declining to share further details.