Good News! TCS announced to give 100 percent variable to its 70 percent employees

Tata Consultancy Services: Tata Consultancy Services (TCS) of Tata Group, the country’s largest IT service company, has announced a variable pay to more than 70 % employees in the first quarter (April-June) of FY 2026. The remaining employees will be given their performance in their business unit on the basis of their performance.

According to the ET report, in the email sent to its employees last week, Chief Human Resource Officer Milind Lakkad wrote, all employees of C2 Grade (or Equivalent Grade) under the QVA plan will get 100 % Quotable Variable Allowance. The payout for the C3 grade and the employees above will depend on their business performance.

TCS contain employees grade

Explain that TCS contains the grades of employees- trainee employees come under Y level. System engineers come at C1 level. Then one by one C2, C3 (A&B), C4, C5 comes and the top CXO is. The employees under the band are considered senior staff. 70 percent of the employees coming to this C2 category will get their full variable of three months.

Increment decision postponed

Recently, TCS has deferred the decision of increment for its employees for the next quarter. The company starts the process of increment for its employees from April 1 in every financial year. The company says that due to the current economic challenges, the dollar weakened for three consecutive months has affected the company’s revenue. However, during this time there was a lot of hiring of new people. In the first quarter, 5,090 employees were employed, causing the total number of employees in the company to more than 6,13,000.

12760 crore profit in the first quarter

In the first quarter of FY26, the company earned a profit of Rs 12,760 crore with a gain of 6 percent on an annual basis. The company’s operational revenue also increased by 1.32 percent to 63,437 crore against the same quarter of last year. After its brilliant quarterly results, the company has announced a dividend of Rs 11 per share for its shareholders.

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