TCS to halt senior IT hiring, globally pause salary hikes: Report
TCS has started trimming out hundreds of benched staff in Chennai, Hyderabad, Pune, and Kolkata
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Tata Consultancy Services (TCS) is expected to freeze the hiring of senior IT techies and pause annual salary hikes globally, according to a report by The Economic Times. The report added that the software services firm has started trimming out hundreds of benched staff in Chennai, Hyderabad, Pune, and Kolkata. However, Storyboard18 could not independently verify the development.
TCS's controversial bench policy completed its 35-day cycle this week. In June, TCS rolled out its bench policy, which mandates a minimum of 225 billed business days annually for each employee, limiting bench time to a maximum of 35 business days per year.
The company's Chief Executive Officer, K Krithivasan, this week announced that TCS will be sacking 2% of its global workforce, citing a shortage of skill-set. Krithivasan's decision has received mixed reactions. While industry veteran such as CP Gurnani has hailed TCS's decision and many analysts have projected other IT giants will be following a similar suits.
Gurnani said the era is coming to an end. He quoted a dialogue from the Bollywood hit 'Sholay': “Kitne Aadmi The...?” and added, "Thank God that period will be over".
He said, "We all need to rewire ourselves toward output- and outcome-based models".
However, the IT-union body, Nascent Information Technology Employees Senate (NITES) has filed official complaints against TCS to the Ministry of Labour & Employment regarding three consecutive "hostile" decisions. NITES called TCS's latest mail - a callous move-which mentioned that the company is going to lay off 12,000 mid and senior-level professionals globally. NITES has urged the government to intervene in the matter and protect the future of ITv employees.
"It will set a dangerous precedent for other companies, by normalizing job insecurity, eroding employee rights, and severely damaging trust in India’s employment ecosystem," NITES said.
NITES, along with allied IT employee unions, have planned to protest across India if the government fails to take action against the software services companies.
