TCS reports dip in Q4 hiring, full-year attrition cools to 12.5%

India’s largest IT major Tata Consultancy Services (TCS) reported a dip on the hiring front in the fiscal fourth quarter. The company saw headcount decrease by 1,759 since the last quarter, ending the fiscal year at a headcount of 601,546.

Attrition for the last twelve months stood at 12.5%. In the third quarter, TCS had reported a sequential headcount dip of 5,680.

The company had added 821 employees during the fourth quarter in the year-ago period, ending fiscal year 2023 with 614,795 employees, a net addition of 22,600 over the previous year.

The firm ended FY24 with 13,249 fewer employees compared to FY23.

Also read | TCS Q4 Results: Profit rises 9% YoY to Rs 12,434 crore, beats estimates

Milind Lakkad, chief HR officer of TCS said: “We are pleased to announce the annual increments for our workforce, as we have done consistently every year, with top performers receiving double digit hikes. The reduced attrition at 12.5%, enthusiastic response to our campus hiring, increased customer visits and employees returning to the office have resulted in great vibrancy in our delivery centres and elevated morale of our associates."

In the second quarter of FY24, TCS rolls had dipped by 6,333 - its steepest drop since the 2008 crisis - as the company slowed down hiring.

The current fiscal year, which saw all top IT companies showing a net decline in their workforce so far, will possibly end with flat or net negative additions for the $245-billion sector, according to Teamlease Digital.

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