TCS gives average salary wage hike of 4.5-7%; double-digit hikes for top performers

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Tata Consultancy Services (TCS) on April 12 announced annual increments in the range of 4.5-7% with double-digit hikes for top performers starting from April 1, Chief HR Officer Milind Lakkad said.

"The reduced attrition at 12.5%, enthusiastic response to our campus hiring, increased customer visits, and employees returning to the office have resulted in great vibrancy in our delivery centres and elevated morale of our associates," Chief Human Resources Officer Milind Lakkad was quoted as saying in the press release.

Last financial year, India's largest software exporter hiked salaries to the tune of 12-15 percent for 'exceptional performers', also kicking off promotions cycle. The hikes were effective from April 1, 2023.

Also read: TCS CEO says won't appoint a COO after NG Subramaniam retires in May

Speaking to the media after declaring the results, Lakkad said the company has onboarded most of the freshers in 2023-24, however, some are yet to be added. These remaining freshers will be added in April-June quarter, he added.

Earlier, TCS had said it planned to add 40,000 freshers in FY24. However, it has been delaying the onboarding of freshers and lateral hires due to budget constraints.

On April 12, TCS reported 9 percent rise in consolidated net profit at Rs 12,434 crore (attributable to shareholders) for the fourth quarter of FY24 as against Rs 11,392 crore in the year-ago period.

Revenue rose 3.5 percent to Rs 61,237 crore in the three months ended March 31, 2024, the IT major said in an exchange filing on April 12.

Moneycontrol had projected a profit of Rs 11,902 crore on revenue of Rs 61,414 crore, based on an average of 10 brokerage estimates, which means while the company has managed to beat estimates for net profit, it has been miss in terms of revenue estimates.

Also read: TCS full-year net headcount declines first time in 19 years