Tata Consultancy Services (TCS) has escaped the “vicious cycle” of hiring frenzy and recruited 1,50,000 plus campus graduates in the last two fiscals.
“The supply side challenges of the last two years peaked in the first half of FY23, with employee churn reaching unprecedented levels. We broke out of the vicious cycle of hiring and counter-hiring within the industry by investing in onboarding an unprecedented number of fresh engineers — over 110,000 in FY22 and over 44,000 in FY23 — and training them on the technologies most in demand,” exiting MD & CEO, Rajesh Gopinathan, said in the the company’s annual report for FY23.
Also read: TCS needs to reinvent under new leadership of Krithivasan: Experts
As far as the salary hike is concerned, the publication mentions that TCS has rolled out a hike of 5-8 per cent for its workforce as it has emphasised on the needs to upskill on the back of AI-led changes. However, if one accounts for promotions and compensation revisions, the total increase in India was in the range of 6-9 per cent.
“In FY23, we focused on utilising the spare capacity built up in the prior year, and recalibrated our hiring especially as attrition started falling in the second half of the year,” it added.
Also read: Exciting journey ahead, says new CEO of TCS K Krithivasan
Cloud transformation remained a high priority area for enterprises last fiscal with greater focus on execution, said Gopinathan, adding: “They engaged us to take up the modernisation and migration of their bigger, more complex workloads.”
“Newer developments like generative AI, large language models and quantum computing triggered more experimentation and innovation by our clients. Our investments in research and innovation across different industries and our pace innovation architecture have positioned us well to partner with them in these initiatives. Our agile innovation cloud offering, where we create dedicated, location-independent innovation teams to help clients accelerate and scale up their innovation, gained further traction in FY23. Seven new clients signed up during the year, bringing the total to 30 clients,” Gopinathan added.