TCS’ tepid performance will take a hit on employees too

Tata Consultancy Services’ (TCS) dismal performance is going to affect its employees in a big way. TCS CEO N Chandrasekaran confirmed if the employees don’t perform well, their quarterly variable payout will take a hit.

"Variable pay is linked to individual units. This quarter some units have not performed, those units will be impacted. The junior employees will be paid. Let's leave it at that," Chandrasekaran said. The most junior employees are expected to get 100 per cent of their quarterly variable allowance. The next rung will get 50 per cent of the payout and 0-50% of the variable will be given to the higher grades and it will be totally based on the performance of their team. The lower payout comes just before Diwali festive season.

But since the payout is so closely aligned to the performance of business units, not all TCS employees are unhappy with their payout.

"My payout this year is actually better than what I got last year," one employee told ET.
(Image: Indiatimes)