TCS Announces Salary Hikes Across All Grades Effective April 1
TCS Announces Salary Hikes Across All Grades Effective April 1
India’s leading IT services giant Tata Consultancy Services has confirmed the rollout of its yearly salary revisions, bringing relief and optimism to employees across all levels. The increment cycle comes into effect from April 1, 2026, covering eligible staff across grades, although the exact percentage increase has not been officially disclosed.
According to the company’s Chief Human Resources Officer, Sudeep Kunnumal, the appraisal cycle has been implemented for all qualifying employees, with standout performers receiving significantly higher, double-digit raises. He highlighted that during the fourth quarter of FY26, the company continued strengthening its workforce by hiring both experienced professionals and fresh graduates.
The organization is placing strong emphasis on building a workforce that is ready for the future, especially by focusing on artificial intelligence. Efforts to develop AI-related capabilities among employees have been a central priority in FY26 and are expected to remain so in FY27 as well, in line with changing client requirements.
Hiring remains a key focus area for TCS, with recruitment spanning freshers as well as experienced professionals. The company is particularly targeting skills in artificial intelligence, data analytics, enterprise platforms, software development, cloud computing, cybersecurity, and digital engineering. In addition, over 750 professionals with specialized consulting and advisory expertise were onboarded during FY26, reflecting increased investment in talent development.
On the workforce front, TCS reported a total headcount of 584,519 employees at the end of FY26. While this represents a decline compared to 607,979 employees at the end of FY25, the company did see a quarter-on-quarter increase of 2,356 employees in Q4 FY26. The workforce also remains diverse, comprising individuals from 149 nationalities, with women accounting for 35.1% of employees.
The company further revealed that around 270,000 employees now possess advanced skills in AI and machine learning, underlining its push toward becoming an AI-driven enterprise.
Attrition saw a slight uptick, with the last twelve months’ voluntary attrition rate rising to 13.7%, compared to 13.5% in the previous quarter.
Looking back, TCS had delayed its previous salary hikes in FY25, eventually implementing them in September 2025 after a five-month gap. At that time, most employees received increments in the range of 4.5% to 7%, while top performers were rewarded with increases of up to 10%.
From a financial standpoint, the company delivered a strong performance in the January–March quarter of FY26. Net profit rose by 12.2% year-on-year to ₹13,718 crore, compared to ₹12,224 crore in the same period last year. Revenue from operations also grew by 9.6% to ₹70,698 crore. On a sequential basis, profit jumped 28.7%, while revenue increased by 5.4%.
