TCS salary hike: IT major says wage hikes to 6 lakh employees a ‘priority’. Here’s what CFO says

TCS salary hike: India’s largest IT company TATA Consulting Services (TCS), ‘priority’ focuses for more than 6 wage increases for workforce, he said.

“My priority is to return to the wage increase,” the Chief Finance Manager (CFO) Samir Sexaria said, without specifying a deadline for the salary hike for his employees.

Speaking with the news agency PTI, Sexaria claimed that the company resorted to ‘rarely’ delay wage increases compared to their peers.

Sexaria also clearly stated that TCS will focus on profitability growth.

Also read | When will TCs increase? Chief Officer says…

At the beginning of this week, TCS’s Assistant General Manager and Chief Human Resources Officer (CHRO) Milind Lakkad said the company has never made any decisions for wage increases.

Milind Lakkad, on Thursday, July 10, 2025, told journalists, “We have not made any decisions in relation to wage hikes so far.” The company usually applies to salary hikes from 1 April every year.

The agency report referring to the CFO stressed that the annual salary increase for TCS employees squeezed the company’s operating profit margin above 1.50%. TCS’s operating margins narrowed 20 basis scores to 24.5% in April-June among the company’s plans to raise them to 26-28%.

Also read | When TCS shines, investors give hope to HCLTECH

Is TCs slow down in lateral recruitment?

TCS employee wear rate increased by 13.8% on the basis of the last twelve-month (LTM) since the end of the 2011-26 financial year-June quarter. This was a marginal increase in a quarter-quarter (QOQ) basis compared to 13.3% in the January-March quarter of 2024-25 financially.

The company’s CFO said that the company will focus on protecting high-level skills that are difficult to build through new recruitment by reaching the level of ‘level’ from April-June quarter. According to the agency report, he implied that the company could slow down on lateral beams because it has capacity, and that it could restart after the demand increased.

Also read | TCS stock price is 2.5%: Is this a share to be purchased after the quarter results?

TCS’s future plans

TCS also plans to focus on growth with profitability after April-June, where Major has encountered winds on growth and margins.

“Our focus will be profitable.

Consolidated net profits of IT company increased by 6% La12,760 Crore for the April-June quarter of the 2025-26 financial year, La12.040 Crore in the same quarter a year ago. Meanwhile, consolidated revenues increased by 1.3% La63,437 Crore in the first quarter, La62,613 Crore in the same period a year ago.

TCS attributed smaller increase in income to the impact of macroeconomic and geopolitical problems on the business.

On the enlargement front, TCS does not plan to reduce investments, but it may be ‘re -aligns’, such as creating just a part of a structure on a plot of news agency referring to Sexaria.

The company also announced that it will not only make a purchase to expand the company’s top line; At the same time, CFO stressed that it is looking at the market for any opportunity.