Tata Consultancy Services (TCS) is set to disburse 100 percent variable pay to 70 percent of its workforce for the third quarter ending December 31, covering junior to mid-level staff. The remaining 30 percent of employees will receive their payouts based on business-related performance, according to Milind Lakkad, Chief Human Resources Officer (CHRO) at TCS.
Lakkad confirmed the continuation of TCS’s commitment to providing full variable pay, a practice observed in both the first and second quarters. Notably, competitors Wipro and Infosys had distributed 80 percent of variable pay in the second quarter.
Despite a QoQ headcount decline of 5,680, marking the second consecutive quarter of reduced workforce, TCS remains focused on rewarding its employees and maintaining a competitive edge in talent retention. The company’s attrition rate continues to show improvement, reinforcing its efforts to create a positive work environment.