TCS Rolls Out 100% Variable Pay For 70% Staff In Q3
Tata Consultancy Services (TCS) said on Thursday that 70 per cent of its personnel will receive 100 per cent variable pay, with the remaining 30 per cent determined by business and performance measures.
The pattern was similar in Q2 FY24, when the company implemented full variable pay for 70 per cent of its personnel base.
As of 31 December 2023, TCS had 6,03,305 employees. The corporation also reduced its attrition rate to 13.3 per cent, down from 14.9 per cent the prior quarter.
"It'll be 100 per cent for 70 per cent of our workforce, and for the remaining 30 per cent, it will be based on business and performance," said Milind Lakkad, chief human resources officer at TCS.
The company recorded higher-than-expected sales for the quarter ended December 2023, with a 1.5 per cent sequential increase. However, the bottom line fell short of forecasts, with profits falling by 2.5 per cent. This decrease is due to a one-time charge of Rs 958 crore made during the quarter for the settlement of a legal claim, which impacted the net profit.
