An Indian multinational information technology services and consulting company, Tata Consultancy Services (TCS) is looking forward to very high increments for new hires.
TCS has already rolled out offers to 46,000 freshers for the FY24, at a time when the industry has been marred by onboarding delays in a challenging macroeconomic climate.
The company has over 6 lakh employees globally. The company’s strategy is to invest in its in-house talent and give them a chance to shine rather than spending in offering massive increments to freshers.
According to the reports of Money Control, As the company struggled with high attrition during the pandemic it has come down eventually. The company is also planning for massive hikes of over 80-120 percent.
Milind Lakkad, talking about the company’s plans to reduce pay disparity among employees, told Moneycontrol, “Those two years of instant gratification were definitely there.”
“While we lost people because they were getting X percent more somewhere, we also hired people, not with that kind of increase but there was some increase definitely.”
“We also ensured that internally people get the opportunity to upgrade their compensation through various initiatives, to reduce disparity internally.”
“Over the years, while these employees have added a significant value to the company, some of them may have lost it on the market relevance skills, which are required today”, he added.
He further said, “So how do we basically ensure that they don’t get left behind? They learn the latest technologies, whether it is cloud, AI, cybersecurity, etc, and get deployed to different jobs.”
Additionally, for the salary increment purpose TCS’ main programme, Elevate, has over 400,000 registered employees with 0-12 years of experience.
The company for Upgrading the leadership, TCS invites international business schools to train this category through experiential learning.
In FY23, for this senior category, around 40,000 employees signed up. About 15 percent of them have been certified and deployed in new roles.
Earlier, Milind Lakkad (TCS CHRO) expects the attrition to drop close to 12-13% by H2FY24. The attrition for every quarter has seen a deep fall to 20.1 percent, continuing its downward trend from last quarter’s.
TCS has reported attrition in Q3FY23 stood at 21.3 percent, a slight decline from 21.5 percent in Q2FY23 on a last-twelve-month basis. The company has started to slow down hiring and focus on improving employee utilization rates.
The company added 22,600 employees during FY23. There has been a steep decrease as compared to its net addition in FY22. In the previous year, it had added 103,546 employees on a net basis.
