Indian IT giant TCS offers exciting news for its employees. The company has administered a 100% variable pay scheme.
Reportedly, TCS’s net profit rose by 8% in the previous quarter. CHRO Milind Lakkad told, “We are going to pay 100% variable pay to 70% of employees, the remaining 30% will get paid based on their business unit performance.” He also affirmed that there is no delay in the payment of the bonus cycle and compensation. The firm is going as planned.
Head- Human Resources, Milind Lakkad stated a new goal will be established after the third quarter. The firm is on a hiring spree and announced that it may hire 10,000 to 12,000 new employees.
The firm has brought on board freshers amidst unstable and delayed industry trends. TCS is able to maintain providing all the offers to the joined employees.
TCS hired 20,000 new employees between July and September of this year. Totally in 2022, TCS’s new hiring is around 35,000 workers
Variable pay is the compensation awarded to employees based on the high performance of the company and employees.
Wipro and Infosys, competitors of TCS have reduced their variable compensation for their staff in the first quarter. TCS announced an increase in variable pay of up to 100% within a month or two as per the company’s laid down process.
Variable pay is a form of incentive that employees can avail as a result of their high performance. There are various forms of variable pay offered by IT companies, some of them include: Stock equivalents, Annual Bonuses, and Commissions.
Variable payments are given to employees for various contributions such as the organization’s high performance and profit, employees’ high performance on the job, and individual contributions to the company.
