Over One-Third of India's Tech Workers Face Pay Cuts or Zero Hikes in Latest Appraisal Cycle: Survey

Over one in three tech workers in India received no salary increase during their latest appraisal cycle, according to a recent survey conducted by Blind, an anonymous community app for professionals.

The survey, which gathered responses from 2,178 India-based professionals, found that 35 percent of participants either received no salary hike (30 percent) or took a pay cut (5 percent). Furthermore, when factoring in employees who received modest increases of 1 to 5 percent, 59 percent of respondents secured a raise of 5 percent or less, marking an increase from 34 percent in 2025.

Survey respondents largely view these outcomes as top-down corporate decisions rather than reflections of their individual work performance. Approximately 41 percent of participants indicated that the primary factor behind the compensation trends was company financial performance or broader cost-cutting measures. Another 18 percent attributed the outcome to artificial intelligence and automation, while only 22 percent cited their individual performance rating.

Overall dissatisfaction among employees is high, with 63 percent of total respondents reporting they are unhappy with their appraisal results, including 47 percent who stated they are very dissatisfied. Dissatisfaction levels peak among those who received no hike or a pay cut, where 83 percent expressed unhappiness, compared to 33 percent of workers who received raises above 5 percent.

Specific companies exhibited notable trends in the survey data. At Zoho, founder Sridhar Vembu froze annual hikes this year, citing increasing AI and server costs while aiming to avoid mass layoffs. Among Zoho respondents on Blind, 95 percent reported receiving no raise or a pay cut, and 90 percent expressed dissatisfaction, contrasting with the previous year when 84 percent reported hikes exceeding 10 percent.

Beyond Zoho, zero hikes or pay cuts were reported frequently by employees at other major tech firms. Oracle recorded 60 percent of respondents facing this outcome, followed by Salesforce at 42 percent, Cisco at 40 percent, and Amazon at 36 percent. Conversely, Nutanix stood out with 67 percent of respondents receiving raises above 10 percent. Amazon's results showed a split, with 36 percent facing flat pay or cuts while 33 percent secured raises above 15 percent.

At Microsoft, 91 percent of respondents reported receiving raises of 5 percent or less, doubling the 45 percent reported the previous year. Meanwhile, only 5 percent received raises exceeding 10 percent, down from 27 percent. Dissatisfaction at Microsoft reached 86 percent, the second-highest share recorded after Zoho, coinciding with the company offering voluntary buyouts to approximately 60,000 employees.

Compensation concerns extend beyond salary adjustments. Over the past year, 21 percent of Blind users in India searched for information related to layoffs or severance, compared to 16 percent the previous year. Additionally, searches for buyouts and voluntary exit programs increased by 60 percent, while searches regarding hikes, raises, or pay freezes declined by 7 percent.

"This survey highlights a significant shift in corporate compensation strategies across the Indian technology sector. With companies increasingly prioritizing cost management, automation, and financial restructuring over traditional annual increments, employee sentiment has understandably soured. Leaders must navigate these cost pressures carefully to maintain morale and retention, as workforce anxiety around job security and buyouts continues to rise alongside flat compensation trends." — Dr. Shishir Gupta, Founder & CEO, StartupLanes