Good news for TCS employees! 100% variable pay to be rolled out for June quarter
It was reported a few days ago that Tata Group had delayed the variable payout for C3A, C3B, C4, and equivalent grades by a month.
- TCS will pay 100% variable pay to all its employees in one or 2 month as per normal process.
- TCS declined reports that claimed delaying in its variable pay for C3A, C3B, C4, and equivalent grades by a month.
- Earlier, Wipro and Infosys cut in variable pay of its employees due to decline in operation margin.
New Delhi: Tata Consultancy service (TCS), country’s biggest Information technology firm, has announced to roll out 100% variable pay for its employees dismissing the reports claimed the delaying of its variable pay.
It was reported a few days ago that Tata Group had delayed the variable payout for C3A, C3B, C4, and equivalent grades by a month. Asserted that there is no delay in variable pay, TCS said in a statement that variable pay will pay on time to all employees.
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“We have come across completely incorrect reports on our compensation. Variable pay is either paid in month one or month 2 as per the normal process and there is no delay in this process. 100% VA is being paid for Q1,” the statement by TCS said.
Other IT companies like WIPRO and INFOSYS cut variable pay
It is to be noted that Wipro had first informed to cut variable pay of its employees after it has seen decline in operations margin. Following the step, Infosys announced a cut in the variable pay of employees to about 70 per cent on average due to the impact on its margin. The reasons cited by the company were the same as Wipro to have seen decline in margin in the last quarter.
What is Variable Pay?
Variable pay is a payment made by employer to its employees on the basis of performance and the contribution to the organisation's growth and progress. It is paid quarterly to employees.