Salary hike still on hold at TCS amid market uncertainty, confirms CHRO

“We are still evaluating the market situation and have yet to decide on wage hikes. It can happen anytime, depending on the business environment,” said Milind Lakkad, Chief Human Resources Officer, TCS. 

“If macro environment improves, we will definitely give the best possible hikes that we normally give," he said.

 The announcement may come as a disappointment to employees who had been anticipating a positive development on compensation. TCS is exercising caution before making commitments, reflecting broader industry uncertainty. 

On the hiring front, however, the company remains optimistic. Lakkad clarified that the adoption of artificial intelligence will not lead to a reduction in hiring.

“We are not expecting a drop in overall hiring because of AI. The nature of roles will change, and the focus will shift to newer skill sets,” he said. The emphasis on upskilling remains central to TCS’s strategy as it navigates this shift. “Talent development is core to TCS,” Lakkad noted.

“In this quarter alone, our associates invested 15 million hours in building expertise in emerging technologies, enabling them to lead the transformation journey for our customers. It is gratifying to note that TCS now has 114,000 people with higher-order AI skills.” This focus signals to employees the growing importance of staying current and continuously enhancing capabilities in next-gen technologies. 

TCS reported a strong close to FY2025 with a workforce of 613,069 employees and a net headcount addition of 6,071 year-on-year. Despite wage hike uncertainties, the company continues to maintain momentum in hiring and onboarding. Looking ahead, TCS plans to stay active on campuses, with fresher hiring volumes to be decided based on evolving business needs throughout the year.