TCS rolls out second salary hike in six months for over 4.7 lakh staff

Mumbai: Tata Consultancy Services Ltd. (TCS) has rolled out salary hikes for 2021-22, rewarding its 4.7-lakh strong workforce for delivering growth amid a global pandemic.

This is the company’s second salary increment within six months. The previous one was announced at the end of the second quarter, effective October 1.

Heralding the return to normal increment cycles, TCS' salary hike will be effective from April, and employees will see their cumulative pay rise by a total of 12-14%. The company gives 6-8% hike normally. It will also continue to offer promotions, as per the regular cycle.

“We can confirm that we are on track to give increments to all associates across our geographies effective April 2021, in line with our benchmarks," a TCS spokesperson said on Friday. "We are extremely thankful to all our associates for demonstrating resilience, adaptability, and an innovative mindset to steer the company in these trying times. This step is a reflection of our steadfast commitment to our associates."

India's information technology companies are expected to return to pre-pandemic growth levels in the three months ended March 31, on the back of strong demand and large deals signed in the previous two quarters. That Accenture Plc has raised its revenue growth forecast for its fiscal ending Aug. 31 also augurs well for the domestic software services industry.

Accenture has announced a one-time bonus—equal to one week of base pay—for its employees below the managing director. TCS's smaller rival Infosys Ltd. has also rolled out salary hikes and promotions across the board as well as a special bonus in the quarter ended Dec. 31.