Mumbai, April 17: Amid the mass layoffs this season across the tech sector, IT giant Tata Consultancy Services Ltd (TCS) is all set to reward its employees. If reports are to be believed, TCS is likely to give a 12 to 15 percent salary hike to its top-performing employees in a bid to keep them on board. The move is aimed at bringing the company's attrition down.
Tata Consultancy Services is aiming to being its attrition rate down to 13-14 percent in the second half of the fiscal year, reports Live Mint. At present, the attrition rate at TCS stands at 20 percent. Besides rewarding top-performing employees, the IT giant also has some good news for fresh recruits. Reportedly, TCS is planning to raise the base salaries of new campus recruits. TCS Hiring: Amid Tech Layoffs, Tata Consultancy Services Plans to Recruit 40,000 Freshers Via Campus Placement Drive in Financial Year 2023-24.
Top-Performing Employees To Receive 12-15% Salary Hike
Speaking about the hike for top-performing employees, Milind Lakkad, chief human resources officer of TCS said, "For high performers, we are looking into [pay hikes in] the 12-15% range. Everybody else, basically, we have 8%, 5%, and 1.5% for those who are not performing."
The news about the raise comes at a time when several companies are sacking employees as part of cost-cutting. The development regarding salary hikes is also notable considering the fact that the TCS hired about 44,000 recruits from campuses last fiscal year. The company is also planning to hire additional 40,000 campus recruits in the current fiscal. TCS Layoffs: India’s Largest IT Services Exporter Says Not Considering Job Cuts, Hiring Impacted Employees From Startups.
Meanwhile, Lakkad expressed confidence saying that the attrition rate of TCS will come down from 20 percent to that of pre-pandemic levels in H2FY24. While TCS's attrition rate has been 20 percent, rivals such as Infosys saw attrition of 20.9 percent in the March quarter. On the other hand, Wipro and HCL Technologies are expected to announce their results on April 20 and 27 respectively.
(The above story first appeared on LatestLY on Apr 17, 2023 03:18 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).