Salary Rationalization 2011

ELLA Graduates

March 2011
Campus Strategy Financial Year 2011

‰ Campus FY 2011
ƒ New improved Campus Strategy with a change in salary offered for Campus Hires
ƒ Focus on hiring Graduates Engineers and Post graduate engineers and other equivalent streams.
ƒ Reach expanded and we are hiring B.Tech & M.Tech from the IITs, Top NITs, BITS Pilani and other prestigious
engineering schools . These colleges will have a differential salary and will be hired as SE & SSE respectively
ƒ Sustained hiring of Campus hires – savvy and with strong communication skills

‰ Campus Salaries
ƒ Inline with the current market trends Campus Salaries have been revamped
ƒ New salary positions Mphasis at par with the other salaries offered on Campus and will help us attract the right
talent across
ƒ Campus Hires for 2011 will be hired directly on rolls as TSE at ELLA and will not have a contract period

Category Career Level Campus Salary (in INR pa.)

B.E./ B.Tech/ M.Tech/
MCA/ M.Sc
•INR 3,00,000 CTC per annum
Trainee Software
•INR 50,000 - Retention Bonus after 2 year
Engineer / Level 2
completion

Note: (1)Bond for 2 yrs with 1 lakh penalty

(2)The New Campus joinees will join us from June 2011 onwards.

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Salary Rationalization 2011- ELLA Graduates
‰ Rationalization of Salaries for Existing ELLA Graduates
ƒ New salary grid arrived at to bring existing campus hires at-par with the new Campus hires of 2011
ƒ Coverage of employees is for Campus joinees of 2007, 2008, 2009 and 2010, who are in India.
ƒ Initiative to avoid dissatisfaction among the Campus joinees prior to December 2010
ƒ The grids are in two categories- Less than 2 years tenure and More than 2 years tenure
ƒ B.Sc Campus hires, who graduated from ELLA will not be in scope for this exercise

‰ Level Movement
ƒ Level movements for any existing Level 2- 2007 and 2008 employees will be effective 1st May 2011
ƒ Level movements for Level 2 ,2009 & 2010 employees will be done as of 1st June 2011 or 1st Dec 2011, as eligible
ƒ As of 1st June, employees who have completed above 24 months tenure will move to SE- Level 3
ƒ As of 1st June , employees who have completed 12 months will move to ASE- Level 2
ƒ As of 1st June , 2010 Employees who do not meet the Billing criteria will have level moment in upcoming cycles

‰ Billing Criteria
ƒ Only Year 2010 joinees on permanent rolls* will have the Billing criteria to be eligible for increase
ƒ All previous batches are exempt from this criteria i.e. 2007, 2008 and 2009
ƒ Year 2010 employees should have been billed at least 60 working days in the last 12 months to the effective date
to be eligible for salary increase
Example: Billing timeline is 1st June 2010 to 31st May 2011. Joinee of Feb 2010, should have been billed for at least 60 days
in this timeline to be eligible.
*Contract period not counted
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Salary Rationalization 2011- ELLA Graduates
‰ Performance Rating
ƒ Annual rating of 2010 will be considered for May 1st and 1st Jun 2011 increment cycle
ƒ Mid-year rating of 2011 will be considered for the subsequent salary revision cycles for the year 2011

‰ Effective Date for Salary Increment

ƒ Campus hires of 2007 and 2008 will have an effective date of May 1st 2011 for Merit Salary increase, Salary
Rationalization and Level movement. They will be shown separately in MSI sheet and the budgets will be fixed.
The MSI increment proposed can be increased but not reduced for any campus employee. The increase in MSI
can also be over the grid.
Example: If 2007 Level 2 or 3 Employee, who is a 4 rater with current CTC of 3.5 lakhs. Assuming he will have a 15% increase in MSI and CTC
will become INR 4,02,500. Rationalization grid will bring his CTC further up to INR 4,50,000 and he will have this salary as his new salary as
of 1st May 2011.

ƒ Campus hires of 2009 and 2010 will have an effective date of June 1st 2011, for Salary Rationalization and
level/ designation change as eligible, if they have completed 12 months & above tenure as of 31st May 2011
ƒ Campus hires of 2010 who have not yet completed 12 months will have the below effective dates for salary
increase as and when they complete 12 months tenure

Joining Month Salary Effective Date Performance Rating Considered

01 Jan 10 - 31st May 10 01st Jun 2011 Annual Rating 2010

01st Jun 10 – 31st Jul 10 01st Aug 2011 Mid Year Rating 2011
01st Aug 10 – 30th Sep 10 01st Oct 2011 Mid Year Rating 2011
01st Oct 10 – 31st Dec 10 01st Dec 2011 Mid Year Rating 2011

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Salary Rationalization 2011- ELLA Graduates

‰ Salary grid for Less than 2 years tenure

Performance Tenure with

2007 2008 2009 2010
Rating MphasiS / Level
1 NA NA Not eligible Not eligible
Level 2
2 NA NA 310,000 300,000
(TSE / ASE)
3 NA NA 340,000 330,000
4 < 2 Years Tenure NA NA 355,000 345,000
5 NA NA 370,000 360,000

Examples:
ƒ 2009 Joinee who is a 1 rater will not be eligible
ƒ 2010 Joinee, who is a 2 rater will have a salary of INR 3,00,000
ƒ 2010 joinee who is a 3 rater will have a salary of INR 3,30,000
ƒ 2009 Joinee, who is a 4 rater will have a salary of INR 3,55,000
ƒ 2009 Joinee who is a 5 rater will have a salary of INR 3,70,000

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Salary Rationalization 2011- ELLA Graduates

‰ Salary grid for Above 2 years tenure

Performance Tenure with
2007 2008 2009 2010
Rating MphasiS / Level
1 Not eligible Not eligible Not eligible Not eligible
Level 3
2 Not eligible Not eligible 375,000 360,000
SE
3 420,000 410,000 400,000 385,000
4 > 2 Years Tenure 450,000 435,000 425,000 410,000
5 470,000 460,000 450,000 435,000

ƒ 2007 and 2008 Campus Joinees with Rating 2 in Annual appraisals 2010 will not be eligible for salary
rationalization, but will be included in MSI with standard increase, inline with MSI for other employees
Examples:
ƒ 2009 Joinee who is a 1 rater will not be eligible
ƒ 2009 Joinee who is a 2 rater will have a salary of INR 3,75,000
ƒ 2007 Joinee, who is a 3 rater will have a salary of INR 4,20,000
ƒ 2008 Joinee who is a 4 rater will have a salary of INR 4,35,000
ƒ 2007 Joinee who is a 5 rater will have a salary of INR 4,70,000
ƒ 2010 Joinee post completing 2 years and moving to Level 3 will have the above salary grids applicable

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Way forward

Sl No Plan Item Timeline

1 Communication to Leaders 18 Mar
2 Leaders to cascade information to their People Managers 18 Mar- 21 Mar
3 People Managers to communicate the details to eligible population 21 Mar to 25 Mar
4 Working sheet for eligible employees shared to Leaders by HR 21 Mar to 23 Mar
5 MSI sheets including 2007 and 2008 Joinees shared with Managers by HR April 2011
Letters issued for 2007 & 2008 employees along with MSI letters for salary
6 increase and level movement effective 1st May Last week-May
Final eligible list for 2009 & 2010 joinees with 1st June effective date shared with
7 Managers 23 June – 25 Jun

Letters issued for 2009 and 2010 for salary & level movement with effective date
8 of 1st June released Last week- June
9 Salary rationalization for 2010 joinees going forward as per Slide no:4 Ongoing

Note: 1) 31st May 2011 will be the cut off date for the Billability criteria check for 2010 campus joinees. This will be
completed by 15 June 2011.
2)Final eligible list for 2010, post Billability check will be finalized by 20th June 2011

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Examples

‰ 2007 & 2008 Batch

1. I have joined in Apr 2008. Now I am at Level 2, salary is Rs.250,000 and have been rated as 3 in 2010 annual
appraisal cycle. How will my salary be rationalized?
ƒ You will be covered under May MSI and salary will be revised to Rs.2,75,000 (assuming 10% increase is
given as per MSI grid).
ƒ Since your new salary is less than the threshold salary applicable for 2008 batch for your rating, your salary
will be rationalized from Rs.2,75,000 to Rs. 410,000 and your level will be automatically changed to Level 3
/ SE , effective 01st May 2011.

2. I have joined in Apr 2007. Now I am at Level 2, salary is Rs.370,000 and have been rated as 3 in 2010 annual
appraisal cycle. How will my salary be rationalized?
ƒ You will be covered under May MSI and salary will be revised to Rs.414,400 (assuming 12% increase is
given as per MSI grid).
ƒ Since your new salary is above the threshold salary applicable for 2008 batch for your rating, there will not
be any further salary rationalization. However your level be automatically changed to Level 3/ SE, effective
01st May 2011.

Note: Manager has the flexibility to increase the salary for 2007 & 2008 Joinees, above the grid in MSI , but
cannot reduce any % proposed. The budgets for the additional increase will need to be from the pool of
budget provided in MSI.

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Examples
‰ 2009 & 2010 Batch
1. I have joined in Apr 2009. Now I am at Level 2, salary is Rs.300,000 and have been rated as 3 in 2010 annual
appraisal cycle. How will my salary be rationalized?
ƒ You will be covered under 01st June 2011 rationalization cycle and salary will be increased to Rs. 400,000 as per
the grid. As you have completed 24 months during the above period, your level will be automatically changed to
Level 3 / SE, effective 01st June 2011.
Note: Employees completing 24 months post 1st June, will get the level movements in Dec 2011 or June 2012 cycles
going forward. The level movement cycles are June & Dec for these batches.

2. I have joined in Jul 2009. Now I am at Level 2, salary is Rs.310,000 and have been rated as 3 in 2010 annual appraisal
cycle. How will my salary be rationalized?
ƒ You will be covered under 01st Jun 2011 rationalization cycle and salary will be increased to Rs. 340,000 as per
Less than 2 yrs tenure grid.
ƒ Upon completion of 24 months, you will be aligned to 01st Dec 2011 cycle and salary will be rationalized to
Rs. 400,000 and level be automatically changed to Level 3/ SE, effective 01st Dec 2011.

3. I have joined in Jun 2010. Now I am at Level 2, salary is Rs.200,000 and have been rated as 3 in 2010 annual
appraisal cycle. How will my salary be rationalized?
ƒ You will be covered under 01st Jun 2011 rationalization cycle and salary will be increased to Rs. 330,000 as as per
Less than 2 yrs tenure grid. Your job title will be changed from TSE to ASE eff. 01st Jun 2011. This is only if you
meet the Billing criteria.
Note: Employees who do not meet the Billing criteria will be eligible as per the cycles states in Slide 4, when they
meet the 60 day billing criteria.
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