Team Blitz India
Tata Consultancy Services (TCS) has introduced a revised variable pay policy that integrates employees’ office attendance as a key factor. The updated policy, implemented post the company’s quarterly results, establishes four attendance slabs dictating the variable pay for employees.
According to the new policy, employees working from the office for less than 60 per cent of the time will not receive any variable pay for the quarter. Those with an office attendance between 60-75 per cent will receive 50 per cent of the variable pay, while employees attending the office 75-85 per cent of the time will be eligible for 75 per cent of the variable pay. Only those with office compliance levels above 85 per cent will receive the full variable pay for the quarter.
TCS had earlier announced a return-to-work mandate, with business unit heads indicating that assigning grades, a prerequisite for promotions, will depend on their track record of working from office.
“Employees’ compliance to work from home will be reviewed every quarter. In the event an employee is found to be in violation of the laid down policies, there will be implications on the annual performance review, compensation, and career progression of the employee,” the policy stated. The policy also cautions that continuous non-compliance with the 85 per cent work from office requirement will lead to disciplinary action. In their communication following the March quarter results, CEO K Krithivasan and CHRO Milind Lakkad emphasised the importance of returning to the office. Krithivasan highlighted the benefits of shared experiences, learning, collaboration, and camaraderie that result from working in a shared physical space.
