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TCS pays 50-70 percent variable for April-June quarter
The Economic Times··29 Aug
Tata Consultancy Services paid 50-70 percent of quarterly variable pay to mid- and senior-level employees for April-June. People aware of the matter said the average payout is at least 10-20 percentage points lower than the prior two quarters. Those earlier FY26 quarters had reached 60-80 percent. Infosys paid an average 70 percent performance bonus for the same quarter.
Prism
What It Means For You
- TCS staff in mid- and senior bands face Q1 variable below the 60-80 percent band paid in the previous two quarters.
- One employee said a personal Q1 payout landed around 50-55 percent after earlier quarters below 30 percent for some.
- Another mid-level employee with over 15 years' experience reported around 35-40 percent.
What's Happening
- For nearly two years until the first quarter of fiscal 2026, mid- and senior staff received about 20-40 percent of eligible variable pay.
- Payouts began to improve from FY26 before easing again in the April-June round.
- Infosys held its April-June average bonus at 70 percent, unchanged quarter on quarter and 10 points below the year-ago level.
How TCS Variable Pay Has Moved
- The latest band of 50-70 percent follows a long stretch of subdued bonuses before FY26.
- ET reported the figures through people aware of the matter rather than a company circular.
- Peer comparison with Infosys places TCS's latest average lower than Infosys's flat 70 percent for the quarter.
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