Layoffs-To-Hiring-To-Appraisals: Tata Group's Mega IT Company TCS At Centre Stage For Freshers, Employees!

While Tata Group-backed Tata Consultancy Services (TCS) beat street estimates in its quarterly earnings for the period ending March 31, 2024, the tech biggie also made significant changes in its workforce. In FY24, as TCS let go of more than 13,000 employees, it also returned to making large freshers hiring. Also, the start of FY25 is sweet for TCS employees as the company has made significant appraisals.

TCS Job Exits:

By the end of March 31, 2024, TCS' employee base stood at 601,546, fewer by 1,759 employees compared to the workforce of 603,305 people. Nevertheless, of the latest total, the workforce of TCS is diversified into 152 nationalities, of which, 35.6% are women employees.

However, in overall FY24, TCS has let go of a whopping 13,249 employees in a year. In Q4FY23, the employee base stood at 614,795.

Further, TCS attrition continued to drop to 12.5% as of March 31, 2024.

TCS Hiring:

While existing employees in thousands exited TCS, the tech giant also increased its hiring process at the same time. In its latest drive, TCS has reportedly made over 10,000 hiring of freshers from top engineering colleges. It was reported by Moneycontrol which cited informations from multiple colleges. As per the report, the freshers are being hired via the National Qualifier Test (NQT).

Earlier in Q3, TCS's head of HR announced the company's commitment to hiring college campuses and growing talent organically despite the challenging conditions of the IT sector globally.

On April 12, 2024, Samir Seksaria, Chief Financial Officer, said, "In FY 2024, our disciplined approach to operations has helped us expand our industry-leading margins. In a challenging environment, we persisted with our long-term investments in workforce reskilling, research and innovation. We will continue to drive efficiencies and competitiveness to capture opportunities for growth with profitability."

Overall, freshers who are looking to be part of TCS, then you're in for a treat because India's tech giant is hiring still. Up to 40,000 freshers are targeted to be appointed this year.

TCS Appraisals:

Amidst hiring and exits at TCS, its chief HR officer, Milind Lakkad also announced that the company has continued its tradition of rewarding achievers with significant appraisals. For FY25, TCS is likely to give appraisal in the range of 4-7% to its employees, but to exceptional achievers, the company is most likely planning double-digit hikes.

Milind Lakkad, Chief HR Officer, said, "We are pleased to announce the annual increments for our workforce,
as we have done consistently every year, with top performers receiving double-digit hikes."

Lakkad also said, "The reduced
attrition at 12.5%, enthusiastic response to our campus hiring, increased customer visits and employees returning to the office have resulted in great vibrancy in our delivery centres and elevated morale of our associates."

In Q4FY24, TCS posted a consolidated PAT of Rs 12,434 crore, attributable to owners of the company, registering a growth of 9.1% YoY. Sequentially, the growth in the bottom line came in at 12.44%.

Consolidated revenue from operations stood at Rs 61,237 crore in Q4FY24, rising by 3.51% from Rs 59,162 crore in the same quarter a year ago. While revenue was up by 1.08% from Rs 60,583 crore in Q3FY24. In constant current, revenue growth was at 2.2% year-on-year in Q4FY24.

For the full-year FY24, TCS's net income stood at Rs 46,585 crore, up 10.5% YoY. While revenue was at Rs 240,893 crore, up by 6.8% YoY%. Constant currency revenue growth was at 3.4%.