TCS Announces Salary Hike Today: IT Giant Increases Employee Wages – See The Details

TCS Announces Salary Hike Today: IT Giant Increases Employee Wages – See the Details

According to the news agency PTI on Tuesday, September 2, 2025, Tata Consultancy Services (TCS), the biggest IT business in India, has announced its most recent round of pay increases, which would be between 4.5% and 7% for the bulk of its employees.

Employees of the Tata Group company began receiving letters of increment on the evening of September 1, 2025, and those with knowledge of the event told the news agency that the pay increases will take effect in September 2025.

Additionally, the audit noted that the corporation did not respond to the email inquiries. This follows two months of postponing discussions on a possible pay increase due to uncertain market conditions, the news agency said.

To what extent did TCS increase salaries?

The agency report claims that Tata Consultancy Services (TCS) has raised the pay of its middle- and lower-level staff members. The news agency was informed by someone with knowledge of the development that the company’s best achievers received pay increases exceeding 10%.

Attrition rate for TCS

As previously reported by Mint, TCS’s attrition rate for the April-June quarter climbed from 13.3% at the end of the fourth quarter of the fiscal year 2024–2025 to 13.8% on a last twelve-month (LTM) basis as of the end of the April to June quarter of FY2025-26.

In comparison to the same quarter last year, the attrition rate for the first quarter of the fiscal year 2025–2026 increased somewhat.

TCS’s Executive Vice President and Chief Human Resources Officer (CHRO), Milind Lakkad, stated in the July 2025 reports that the business has not decided to raise staff salaries.

“We have not yet made any decisions regarding wage hikes,” Lakkad stated during the company’s quarterly news conference.

The Chied HR officer also informed the media that the firm was working to reduce its attrition rate, which at the conclusion of the first quarter of the fiscal year 2025–2026 had hit a two-year high.

Milind Lakkad stated that TCS attrition exceeded their comfort level of 13% as it reached a two-year high.

Here’s an SEO-friendly FAQ format based on your TCS salary hike news:

FAQ: TCS Salary Hike 2025

Q1: Has TCS announced a salary hike for its employees?
Yes. Tata Consultancy Services (TCS), India’s largest IT company, announced its latest round of salary increases, effective September 2025. The hikes for most employees range between 4.5% and 7%.

Q2: When did employees receive their increment letters?
Employees began receiving increment letters on the evening of September 1, 2025.

Q3: Did all employees receive the same hike?
No. While most middle- and lower-level staff received 4.5%–7%, top performers reportedly received increases exceeding 10%.

Q4: Why was the salary hike delayed?
TCS had postponed pay discussions for about two months due to uncertain market conditions.

Q5: Has TCS announced a salary hike for its employees?
Yes. According to PTI reports on September 2, 2025, Tata Consultancy Services (TCS) has announced a new round of salary increases for employees, ranging from 4.5% to 7% for most staff.

Q6: When will the salary hike take effect?
Employees began receiving increment letters on September 1, 2025, and the pay hike will be effective from September 2025.

Q7: Which employees are receiving the hike?
The hike applies primarily to middle- and lower-level staff. Top performers reportedly received increases exceeding 10%.

Q8: Why was there a delay in announcing the salary hike?
The company had postponed discussions on possible wage hikes for two months due to uncertain market conditions, according to the news report.

Q9: Did TCS respond to media inquiries about the hike?
No. The company did not respond to email queries from the news agency.

Q10: What is the current attrition rate at TCS?
As of the April–June 2025 quarter, TCS’s attrition rate rose to 13.8%, slightly higher than 13.3% in the previous quarter, reaching a two-year high.

Q11: What is TCS doing about attrition?
TCS’s Executive VP and CHRO, Milind Lakkad, stated that the company is actively working to reduce attrition, which has exceeded their comfort level of 13%.

Q12: Had TCS confirmed salary hikes earlier?
Earlier, in July 2025, Milind Lakkad mentioned that no decision had been made regarding wage increases. The latest announcement reflects the company’s updated stance.

Q13: What is the range of the TCS salary hike announced in 2025?
TCS has announced salary increases ranging from 4.5% to 7% for most employees, while top performers may receive hikes above 10%, according to sources cited by PTI.

Q14: When did employees start receiving the salary hike notifications?
Increment letters were sent out on the evening of September 1, 2025, and the hikes will take effect in September 2025.

Q15: Who are the primary beneficiaries of this salary hike?
The hike mainly targets middle- and lower-level staff, but high achievers have been rewarded with higher increments.

Q16: Why was the announcement delayed?
The company had postponed discussions for two months due to uncertain market conditions, delaying the confirmation of salary hikes.

Q17: Did TCS comment on the salary hike when asked by the media?
No. The company did not respond to email inquiries from news agencies regarding the pay increases.

Q18: What is the current attrition rate at TCS?
TCS’s attrition rate for the April–June 2025 quarter rose to 13.8%, compared with 13.3% at the end of the previous quarter, marking a two-year high.

Q19: How does TCS plan to address high attrition?
According to CHRO Milind Lakkad, the company is working on strategies to reduce attrition, which has exceeded their comfort level of 13%.

Q20: Did TCS announce salary hikes before this round?
Earlier, in July 2025, Milind Lakkad had stated that no decision had been made regarding wage increases. The current hike marks the company’s latest update on employee compensation.

Q21: Are all employees eligible for the same hike?
No. The hike varies based on performance and role, with top performers receiving more than 10%, while the majority of employees receive 4.5–7%.

Q22: Does this hike affect all Tata Group companies?
No. This hike specifically applies to TCS employees and does not cover other Tata Group companies.

Q23: What factors influenced TCS’s decision to hike salaries now?
The hike comes after a period of market uncertainty and rising attrition. Rewarding employees aims to retain talent and boost morale amid competitive industry conditions.

Q24: How frequently does TCS review salaries?
TCS typically reviews employee compensation annually, though adjustments may vary depending on performance, market trends, and business conditions.

TCS Announces Salary Hike Today: IT Giant Increases Employee Wages – See the Details