TCS salary hike: IT major set to increase annual salary up to 8% from April 2025 for fiscal year 2025-26
TCS salary hike: The IT major will increase annual salary up to 8 per cent from April 2025 for the fiscal year 2025-26, as per media reports. However, the firm's employees remain unhappy and are concerned about the dropping increment rates.
TCS salary hike: India's largest IT firm, Tata Consultancy Services (TCS), is set to increase the annual salary of its employees by 4 to 8 per cent for the financial year 2025-26, the Economic Times reported, quoting people aware of the development.
The payouts are expected to start from April 2025, according to the news portal's report.
Tata Consultancy Services has also linked its salary hikes and variable payouts to the employees' compliance with the return-to-office instruction announced in early 2024.
“We have been conveyed the hikes will be around 4-8 per cent. The business verticals which have done well typically get more hikes but overall increments have not been too good,” an employee at the IT firm told the news portal.
According to the news report, TCS did not respond to the queries related to this development.
The latest potential hike will follow the quarterly variable pay (QVP) for the October to December quarter for eligible employees. Senior-level employees will continue to receive lower payouts ranging from 20 to 40 per cent, as per the report.
“The hikes have been meagre each year for the past at least three-five years,” another employee working in TCS for eight years told the news portal. “It has been on the decline since the exit of former chief executive N Chandrasekaran,” they said.
IT Industry Trends
Among the IT majors in India, Infosys Limited, ranked second, informed that employees will receive annual compensation revision letters by the end of March 2025 and is working on the salary hikes of people based on the recommendations from the delivery units, according to the report.
According to multiple media reports, Infosys is set to increase the annual payout of its employees by 5 to 8 per cent.
India's $254 billion IT industry's growth trend is witnessing a gradual slowdown from double-digit figures in the Covid-19 period to single digits in the past few years, reported the news portal.
(LiveMint couldn't independently verify the report)
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