## TCS's New Attendance Policy and Its Impact
Tata Consultancy Services (TCS), a leading IT giant, has implemented a new policy that ties employee bonuses to attendance. According to the policy, employees with less than 60% attendance will not be eligible for a quarterly bonus.
This policy comes amidst the company's recent mandate for employees to work from the office five days a week. The new policy aims to incentivize employees to comply with the attendance requirement.
50% variable pay for attendance between 60% and 75%
75% variable pay for attendance between 75% and 85%
Full variable pay for attendance above 85%
Non-compliance with the attendance policy could lead to disciplinary action.
TCS CEO and MD, K Krithivasan, expressed confidence in the success of the return-to-office policy. He stated that the policy has played a crucial role in maintaining TCS's organizational culture.
Krithivasan highlighted that nearly 65% of TCS associates are now attending the office 3-5 days a week, just a quarter after the policy's implementation. He emphasized that the primary objectives of the policy are to ensure associates receive the best value and to preserve the organizational culture.
Krithivasan expressed optimism that, with the positive incentives provided, a majority of employees will be back in the office within the next couple of quarters.
However, TCS recently reported a decline in full-year headcount for the first time in 19 years. The company's headcount fell by over 13,249 for the fiscal year. Despite this, TCS remains among the early companies to hire freshers for the upcoming fiscal year.
The company is still calibrating the total number of freshers it wants to hire for FY25, aiming to reach a target of 40,000.