TCS Salary Hike Latest News Today: According to the IT firm, the remaining 30 per cent of employees will receive performance-based compensation.
TCS Salary Hike Latest News Today: In a piece of good news that will bring cheers to lakhs of employees, TCS has announced a Christmas gift for its employees and hiked their salary by 20%. Moreover, 4 lakh TCS employees out of the total 6 lakh staff will get 100 per cent variable pay for FY22. According to the IT firm, the remaining 30 per cent of employees will receive performance-based compensation. At present, only 10-20 per cent of the employee’s salary is dependent of variable pay.
Reports suggested that TCS has announced a 20 per cent Christmas salary hike to 70 per cent of its employees, and a performance-based hike to the remaining staff of the company.
Fr the unversed, Variable Pay is determined primarily on the company’s performance. In the July-September quarter of 2022, TCS reported Rs 10,431 crore net profit, crossing the Rs 10,000 crore mark for the first time in a quarter.
In a statement, TCS chief Human Resource Officer Milind Lakkad told a news portal, “We are going to pay 100 per cent variable pay for 70 per cent of employees… the remaining 30 per cent will get paid based on their business unit performance. This is for Q2 (July-September).”
The decision to give out 100 per cent variable pay comes after Wipro and Infosys reduced variable compensation for their staff in the first quarter.
According to report, the entry-level employees at Wipro only received 70 per cent of the variable remuneration that senior personnel received. In the similar manner, Infosys followed suit and set a limit on total employee remuneration at 70 per cent of the previous level.
In the July-September 2022 quarter, Tata Consultancy Services (TCS) reported a net addition of 9,840 employees. At this time, the company’s workforce as of September 30, 2022, stood at 6,16,171.
