The industry has been plagued by onboarding delays in a challenging macroeconomic climate but Tata Consultancy Services (TCS) has already announced offers to 46,000 freshers for FY24.
According to Milind Lakkad, the company has already offered 46,000 jobs to over 6,00,000 people who took the national qualifier test.
He added that a total of 44,000 freshers have been onboarded by the company in FY23, exceeding its goal of 40,000, with approximately 2,000 freshers onboarded during the last quarter of the year. Over 1 lakh freshers were hired by the company in FY22, of whom 15,000 were hired during Q2, 20,000 in Q2, 7,000 in Q3FY23, and 15,000 in Q2.
“We are honouring all job offers, and have added 22,600 employees on a net basis in FY 23. During the year, we onboarded over 44K freshers and our highest-ever number of experienced professionals,” Lakkad said in a statement.
Speaking to the press, Lakkad said that the company honoured all its offers, and will continue to do so.
“There were some delays — a month or two — for onboarding people, but it will happen. We honoured all the offers. In future, no reduction in salaries, nothing. Whatever we are committed to is what we offer,” he said.
It comes at a time when the company has experienced a significant decline in its net headcount growth, adding only 821 people on a net basis in Q4FY23.
As compared with the last fiscal, the company added 1.3 lakh employees in FY23. During the quarter, Lakkad said the company will pay out 100% of variable pay, and the company plan to raise salaries for high performers by 12-15%. Other hike bands are 8%, 5% and 1.5%.
Earlier, in another development, the company also announced that it has cut the variable pay compensation of the employees and will have a slower rate of recruiting in Q4 FY23
A high rate of staff turnover has caused expenses to rise, such as increasing salaries and the payment of a premium for the skills needed to fill open positions in all IT subfields. And as a result, operational margins have been under pressure throughout the most recent quarter.