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Business News/ Companies / News/  TCS delays onboarding of over 200 lateral recruits, THESE cities' hires impacted: Report
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TCS delays onboarding of over 200 lateral recruits, THESE cities' hires impacted: Report

TCS has postponed the onboarding of several lateral hires by at least three to four months due to project deferrals and budget cuts. Over 200 recruits are affected.

TCS was recently rocked by a bribe-for-jobs scandalPremium
TCS was recently rocked by a bribe-for-jobs scandal

Tata Consultancy Service (TCS) has been postponing the onboarding of several lateral hires by at least three to four months, according to a media report. The IT giant has been making lateral hires with 1.8 to 15 years of experience. All these hires had been initially facing a one month delay in onboarding, however, according to the media report, these people are now facing at least a three month delay in onboarding.

The report by Moneycontrol cites project deferrals, cut down in tech budget for TCS not onboarding several lateral hires. According to the report, over 200 lateral recruits across cities including Bangalore, Pune, Kochi, Bhubaneswar, Delhi NCR, and Indore have been impacted.

The report further states that the lateral hires were hired by TCS between January and April and were initially facing onboarding delays by a month. However, project delays and the general hit that the IT industry had been handed with has deferred the onboarding of these recruits by several months.

“On July 10, however, many received emails stating that their joining dates are getting pushed to October" the Moneycontrol report read. The recruits had initially gotten three to four subsequent onboarding dates via email, which after all got postponed to October.

The news comes at a time, when TATA companies have been facing crisis after bribery cases came to the limelight. TCS has sacked six employees after finding them guilty of accepting favors from certain staffing firms in the appointment of contractual workers. The largest IT services exporter is investigating the role of three more of its employees.

Tata Consultancy Services (TCS), the largest software services exporter in India, is set to announce its earnings for the first quarter of FY24 on 12 July.

TCS LinkedIn pages have been open for new recruits, walk-in interviews in the past week. The experience for various departments vary from freshers, graduates to decades of experience. Their LinkedIn page also says that he company has around 5,296 open jobs to be filled in.

TCS is expected to see a dull quarter, in line with the weak sector performance which was impacted by a slower deal pipeline conversion leading to an impact on volumes in a seasonally strong quarter.

As reported by Mint earlier, the Q1FY24, full quarter wage hike impact and lower utilisation due to project cancellations and postponements are likely to weigh on margins of TCS. Meanwhile TCV is likely to be flattish after the deal with BSNL.

On June 26, Mint reported that TCS has named a new head to oversee the hiring of temporary workers amid an internal probe into the bribes-for-jobs scandal that led to the sacking of some executives and the blacklisting of few staffing firms.

The company denied that bribes were sought to recruit people, but said that unethical behavior was observed in the resource allocation group which deploys talent and fills up shortfall through BAs.

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Published: 10 Jul 2023, 10:35 PM IST
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