TCS Variable Pay 2025: Tata Consultancy Services, the country’s largest company in the IT sector, has announced a 100% variable pay for more than 70% of its employees in the June quarter. According to media reports, variable pay for the rest of the staff will be decided on the basis of performance of their business unit. Regarding this, Chief HR Officer Milind Lakkad said in the Internal Mail that all the employees up to C2 grade under Quatter Variable Allowance (QVA) will get 100% quarterly variable allowance. At the same time, Employees of C3 grade or above will get a quarterly variable allowance based on business performance.
How is the grade of employees in TCS?
Employees have many grades in the country’s all the big IT company TCS. There are trainees at Y level. This is followed by a system engineer at C1 level, which is then going up and after C2, C3 (A and B), C4, C5 and then after that there is a senior management level. C3 or above bands are generally considered senior employees. In the June quarter, TCS added 5,060 employees and its total workforce reached around 6.13 lakhs.
The wait is still waiting for annual hike
Employees are getting quarterly variable payment in TCS on time but the annual hike is yet to be announced. This has happened at a time when there is pressure on its revenue in the dollar term in three consecutive quarters due to macroeconomic challenges.
How was the June quarter of TCS?
The first quarter of the current financial year 2025 increased to 13.25% of the order book of TCS in April 2025. The company’s total contract value was $ 9.4 billion in the June quarter. However, it was about 23% less than the March quarter. In the June quarter, the company’s consolidate increased at ₹ 12760 crore on a annual basis at a net profit at a annual basis. During this period, the operational revenue also climbed 1.31% to ₹ 63437 crore.