Tamil Nadu Firm Rewards Employees with Rs 14.5 Cr Bonus

Coimbatore, Tamil Nadu, Feb 7 (PTI) A Tamil Nadu-based Software-as-a-Service (Saas) company, Kovai.co has offered about Rs 14.5 crore as bonus to nearly 140 of its 260 employees as part of honouring their service to the company.



Those employees who have joined the city-based company on or before December 31, 2022 would receive 50 per cent of their Gross Annual Salary as bonus upon completion of three years of tenure.


Kovai.co which has a presence in London and Chennai apart from Coimbatore, has launched the 'Together We Grow' bonus to all existing and new employees in 2022 to share the company's profits with its employee base.


Accordingly, the first batch of beneficiaries, about 80 of them would receive their bonus as part of their salary for January, the company said.


"I have always believed that employees who contribute to the company's success and profits must be rewarded. It has also been my dream to come up with ways to share and distribute wealth," said company CEO and Founder, Saravana Kumar on the development.


Before coming out with the bonus option, Kumar said they were considering other alternate options to reward the employees.


"We considered employee stock ownership plans or shares. But that is 'paper money' that is not realised unless the company raises external capital or decides to list its shares," he said in a statement.


He said the company chose to provide the reward in cash thereby allowing its employees to use it as they deem fit.


"People can use it to close a loan, put a down payment on a house, or invest in anything they want or really need," he said.


Kovai.co offers three products BizTalk360, Document360 and Turbo360. Some of the company's products are used by over 2,500 clients worldwide.


Recently, the firm acquired Bengaluru-based company Floik for an undisclosed sum. The acquisition is aimed at enhancing the features of Kovai.co AI-powered knowledge management software Document360.