Wipro holds back variable pay for June quarter for mid, senior-level employees: Read the email to staff

The rising global uncertainty seems to be hurting IT companies. The country’s fourth largest IT services provider Wipro is holding back the variable payouts of mid-to-senior level employees for the June quarter. Wipro gives out variable pay every quarter. As per the company’s structure, these employees belong to C bands and above (managers to C-suite level). The company communicated the decision to employees in an internal note sent a few days ago. Wipro cited lower margins as the reason for the decision.
What the email says
“We’ve seen some continued pressure on operating margins. Our Q1 margins were lower at 15% due to inefficiency in our talent supply chain, project margins and our investments in talent, technology and solutions during the quarter, which will continue as these are directed toward long-term value building… Given our underperformance on margins this quarter, our variable pay takes a hit,” the email to employees said.