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On wage hike delay in 2025, TCS CHRO Milind Lakkad does not provide any specific reason for the delay, but hints at the uncertain global economic and geopolitical environment.
TCS Salary Hike 2025.
TCS Salary Hike 2025 Update: TCS chief HR officer Milind Lakkad on Thursday said the company has not yet taken a decision on the salary hike for employees this year. He said this during a post-Q1 earnings press conference.
“We have not taken a decision on this yet,” said Lakkad during the post-Q1 earnings press conference.
On the wage hike delay, Lakkad did not provide any specific reason, but hinted at the ongoing uncertain global economic and geopolitical situation.
“If macro environment improves, we will definitely give the best possible hikes that we normally give,” he said without sharing any number.
Meanwhile, K Krithivasan, chief executive officer and managing director of TCS, also highlighted the difficult macroeconomic situation.
“During our last press meet (in April 2025), we had spoken about delays in decision making in projects with respect to discretionary investments. This trend has continued and intensified to some extent in this quarter, and global businesses were disrupted due to conflicts, economic uncertainty and supply chain issues,” Krithivasan said.
The IT sector has been facing global headwinds due to the ongoing trade war and geopolitical conflicts.
According to reports, Tata Consultancy Services (TCS) is expected to roll out lower salary hikes this year between 4 per cent and 8 per cent. This hike will be the lowest in the past four years. TCS had rolled out a salary increment of 10.5 per cent in FY22, 6-9 per cent in FY23, and 7-9 per cent in FY24.
The company’s largest IT services company on July 10 reported a 5.98 per cent rise year-on-year (YoY) in its net profit to Rs 12,760 crore for the first quarter ended June 30, 2025 (Q1 FY26). On a quarter-on-quarter (QoQ) basis, the net profit grew 4.38%.
It had reported a net profit of Rs 12,040 crore a year ago and Rs 12,224 crore in the previous quarter.
However, its revenue from operations during April-June 2025 stood at Rs 63,437 crore, which is 1.13 per cent higher as compared with the Rs 62,613 crore reported last year. On a sequential basis, the revenue fell 1.61%.
It was also down by 3% on a constant currency basis.
TCS Hiring
India’s largest IT services company added 6,071 employees during the April-June 2025 quarter. With this, the total number of TCS employees stood at 6,13,069 as of June 30, 2025. On a net basis, TCS’ headcount increased by 5,090 employees in the first quarter of the fiscal, according to a regulatory filing.
Its IT services attrition rate (last twelve-month basis) inched up to 13.8 per cent in Q1 FY26, compared with 13.3 per cent in the previous quarter. The attrition had stood at 13 per cent in the December 2024 quarter.
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h…Read More
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h… Read More
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