ImageCourtesy: ibnlive.in.com
The Tata Consultancy Services (TCS), the India’s biggest private sector employer and a top recruiter of women has decided to shell out a whooping amount of Rs. 2,628 crore, approximately $423 million. This is roughly compared to as an advance Diwali bonanza for 2.5 lakh employees.
Considered as probably the biggest ever bonus payout by an Indian company to its employees. TCS will gift the staff of one week’s salary as an increment for completing 1 year of promising service. Having added a sentiment of feel good factor, TCS has managed to attract talents across the country, said the Recruitment and HR experts.
“The special reward to employees acknowledge the role they have played in building TCS into one of the most respected and valued technology services companies in the world,” said Chandrasekaran.
The 51 year-old, Cheandrasekaran, is the second highest paid professional CEO in India’s IT services sector, initially joined TCS as a programmer in 1997 and then advance to become the frontline in 2009.
While TCS employs over 3 lakh employees, out of which one third are women, the bonus will be applicable to only those staffers who have completed the service of at least one year.
The Tata group went ‘softwarely’ public in 2004 and is today India’s most valuable company with a market capitalization of Rs.5.06 lakh crore. However, TCS has an attrition rate of 14% in the Indian IT sector, which is considered to be moderate.
Financially, TCS is known to be stunted with their pockets to pay the employees as compared to the close competitor, Infosys. Infosys has rewarded staffers with stock options and has also created millionaire employees.
In 2010, Infosys had issued bonus shares worth Rs.159 to mark and celebrate its 30th anniversary. Start -ups too, are offering handsome salaries to invite potential talent.
Kamal Karanth, MD, Kelly services said, “Recruitments have picked up in the industry. TCS’ competitors, as also e-commerce companies are hiring C-level executives. This factors could have led TCS to give out a bonus to retain its critical talents.”
Tags: TCS
