Tata Consultancy Services Rolls Out Salary Hikes to Majority of Employees

Tata Consultancy Services (TCS) has announced salary hikes ranging from 4.5 to 7 percent for a majority of its employees. The increments, which became effective from September, come after a turbulent period for the IT major. Despite reducing its workforce by around 2 percent in June, the company has now rolled out hikes for nearly 80 percent of its employees, with top performers receiving increments exceeding 10 percent.

Key Takeaways:

• TCS has rolled out salary hikes ranging from 4.5 to 7 percent for a majority of its employees, with increments becoming effective from September.
• The announcement comes after a period of uncertainty for the IT major, which had deferred salary hikes in June amid uncertain market conditions.
• TCS had also reduced its workforce by around 2 percent in June, impacting approximately 12,000 employees.
• Despite this, the company has now rolled out hikes for nearly 80 percent of its employees, with top performers receiving increments exceeding 10 percent.
• Most increments have been extended to employees in the lower- and mid-levels of the corporate hierarchy.
• The salary revision comes at a time when the company reported a slight uptick in its attrition rate, which stood at 13.8 percent in the June quarter.

Statistics:

• 80 percent of TCS employees have received salary hikes.
• Increments range from 4.5 to 7 percent for a majority of employees.
• Top performers have received hikes exceeding 10 percent.
• 13.8 percent was the attrition rate for TCS in the June quarter.
• 12,000 employees were impacted by the 2 percent workforce reduction in June.

Sources:

• PTI
• Tata Consultancy Services (TCS) official announcement (awaited)
• "Tata Consultancy Services achieved a profit of Rs. 98,658 million for the quarter year ending June 30, 2022." (PTI)