TCS plans to add 40,000 freshers to its workforce this year

New Delhi,UPDATED: Jul 15, 2024 19:28 IST

Tata Consultancy Services (TCS) has announced its plans to hire 40,000 freshers this year, continuing its strong recruitment drive.

This move comes as the global IT sector undergoes changes, and India remains a key hub for talent. In the June quarter alone, TCS added 5,452 employees, bringing its total workforce to 6,06,998.

Milind Lakkad, TCS's Chief Human Resources Officer (CHRO), mentioned India's ongoing importance in the talent market despite various skill requirements and geopolitical challenges elsewhere.

"India is the destination for talent, and that is not going to change in the near future," Lakkad said.

Lakkad highlighted TCS's efforts to bridge the gap between academia and industry through extensive reskilling and upskilling programs. These initiatives are designed to help employees adapt to new technologies and job roles.

"I am very confident about a positive way forward for Indian talent," he added.

Addressing concerns about artificial intelligence (AI) affecting employment, Lakkad reassured that while technology changes job landscapes, TCS employees are skilled at adapting.

TCS has also implemented salary increases ranging from 4.5% to 7%, with top performers receiving 10-12%. The Elevate Runway program further supports career growth, especially for junior employees, by offering accelerated learning paths that can double their compensation.

This program is available to employees at all levels, focusing on financial rewards and career advancement aligned with individual goals. Over 400,000 employees have joined the program, showing its popularity and impact.

Additionally, TCS's Mid-Level Transformation (MLT) program helps employees acquire market-relevant skills to take on new roles within the company. TCS recently updated its variable pay policy to include office attendance as a crucial factor, reflecting changes in work dynamics.

Lakkad noted that about 70% of employees have returned to the office, and the new policy aims to maintain discipline and create a positive work environment.

"We have come to a point where with just 70% plus number I'm very happy. The point of whether we continue for one quarter, two quarters, three quarters or for the year is something we'll decide. This is not something that we want to do to punish people. This is the last measure we have taken now. The last measure we have taken to basically make sure that people who do not understand or have not yet understood the value of coming to work, they do understand," he said.

"The idea is not punitive but to incentivise office attendance positively," Lakkad clarified.

Earlier, the IT firm reported a consolidated net profit of Rs 12,040 crore in the first quarter of FY25, marking a 9% increase over the Rs 11,120 crore in the corresponding period a year ago