It seems that the economy blues for the employees in India is about to get over, at least for those who are working in the Information Technology (IT) sector. After a slow period of two years, all the IT majors in India (including companies like Infosys Technologies, HCL Technologies and Tata Consultancy Services) have announced salary hikes for the employees for the upcoming financial year.

The increment is expected to be in the range of 8-12%. This proposed increment is a little less than the 13-15% hikes given by these companies in 2007-08, before the slowdown hit the economy.

Due to the global economic turmoil, most of the IT Companies have not offered regular appraisal for the last two fiscals. For both the financial year 2008-09 and 2009-10, the IT companies offered only selective salary hikes or token raises to its employees.

For the year 2010, Infosys which is India's second largest IT service company is contemplating to give a salary raise of 8-12% to both offshore and onshore employees. TCS, on the other hand, is planning a higher raise of around
8-15%. It is also planning to raise its MBA campus packages by 10%.

The improving economic outlook suggests a better year ahead for these IT companies and that's what has motivated them to offer these hikes to the employees.