TCS, which employed about 40,000 employees last year, plans to recruit a similar number or slightly more in the fiscal year 2022.
TCS, which employed about 40,000 employees last year, plans to recruit a similar number or slightly more in the fiscal year 2022. India’s largest software services exporter, speaking to reporters a day after reporting strong fourth-quarter results, said there are no supply-side obstacles in the talent space to meet the demand that is already coming in. TCS’s chief HR officer, Milind Lakkad, said, “Our operating model is very sound.” It is focused on students coming in from the university. Internal talent growth is ongoing during the year, with several people recruited from the industry. In addition, now that the national qualifier test is held four times a year, we can accommodate more people as needed.”
He mentioned that the majority of the new hires would be made in the first quarter of FY22, but that this might stretch to three quarters depending on how demand develops. However, Lakkad predicted that after reaching an all-time low attrition rate of 7.2 percent in January-March, it would gradually increase in the coming quarters. “I expect attrition to increase a little bit quarter after quarter, but not in a dramatic way, and we’ll be able to handle that as well,” he said. He ruled out the possibility of a double-digit attrition rate.
TCS added 19,388 workers to its payroll in the fourth quarter, the most it has ever added in a quarter. The overall headcount was 4,88,649, an increase of 40,185 over the previous year. According to Lakkad, the company’s campus hirings have been close to last year’s, and the company sees no new obstacles in recruiting from the industry.
TCS’s Capex plans for the coming year, according to V. Ramakrishnan, the company’s chief financial officer, would be close to what the company has been doing. “We will continue to invest in technology infrastructure and, in some cases, accelerate it, as well as refresh existing technology assets in networking, communication, security, and other areas. Physical infrastructure additions will be calibrated based on specifications, and some existing infrastructures could be repurposed, but we will wait for more information before making a firm decision,” he said.
TCS announced a 4.2 percent increase in revenue in constant currency (CC) from January to March 2021. During the quarter, the company’s net profit rose by 6.3 percent to Rs 9,246 crore, thanks to the company’s highest-ever deal wins in a quarter worth $9.2 billion. Revenues increased by 4% to Rs 43,705 crore in the quarter, while operating margins increased by 25 basis points to 26.85%, the highest since September 2015.