5 Lakh TCS Employees Can Get Higher Salary Hike: 100,000 Employees Resigned, Profits, Revenues Increase To Record Levels
TCS CEO and MD Rajesh Gopinathan said that the firm hiked salaries by 6-8% in FY22.
It will continue with similar increments in FY23.
It made the highest ever employee additions in a quarter.
Of the net addition of 1,03,546, as many as 35,209 were hired in the January-March 2022 quarter.
Despite the hiring spree, its attrition rate grew to 17.4%.
Gopinathan commented that IT services’ attrition continued to rise but “incremental attrition has moderated”.
N Ganapathy Subramaniam, COO & ED of TCS believes that the attrition situation will stabilise in the next 6-8 months.
He said that there are “enough indications” in the company’s business model that demand and supply imbalance will ease up in the same time frame of 6-8 months.
Return To Office
TCS is starting to bring its employees back to office after 2 years of remote work.
Gopinathan said that senior associates, the top 50,000 employees, will start coming to offices for three days in a week from April.
Then the firm will continuously increase the coverage of associates who will start coming back.
It expects most of its staff to start working from the office by the middle of the year, in a ratio of 80:20.
He also spoke about the company’s 25 by 25 model and expressed his confidence in it.
However, he believes it has to be implemented in a structured manner as currently the firm is operating at almost like a 95:5 model.
Before beginning the migration to the 25 by 25 model, he said that they need to get back to a more normal model of 80:20 or so.
“Hopefully if the trajectory that we are currently seeing continues, we will start accelerating that shift back to the 80:20 model,” the IT giant’s CEO added.