Tata Consultancy Services (TCS) became the first major IT services company to announce a pay increment for financial year 2021-22. The salary hike would come into effect from April 2021, a TCS spokesperson said on March 19.
"We can confirm that we are on track to give increments to all associates across our geographies effective April 2021, in line with our benchmarks," the company said in a statement.
"This step is a reflection of our steadfast commitment to our associates," the TCS spokesperson added.
This would be the second salary hike which the company would implement within a span of six months. The previous pay increment cycle was delayed due to the outbreak of COVID-19 pandemic in March last year.
With the salary hike rolled out in October 2020 and the upcoming hike on April 2021, TCS employees will get around 12-14 percent average increment and this will be in line with the company norms, according to sources familiar with the development.
Along with the salary increment, TCS will continue to offer promotions as per the regular promotion cycle.
The company's peer Accenture had announced employees a one-time bonus, which would be a week’s worth of their base pay, on March 18.
US-based IT major Cognizant has promoted 24,000 employees globally and rolled out wage hikes based on performance for 1.6 lakh employees, Rajesh Nambiar, Chairman and Managing Director, Cognizant India, said in a statement.
Infosys, Wipro and HCL Tech rolled out salary hikes for their employees between October 2020 and January 2021.
(With inputs from agencies)