- Employees accuse TCS of unfairly slashing promised Quarterly Performance Bonuses.
- Union reveals up to 30% drop in actual annual compensation for mid-level staff.
- QPB eligibility now hinges on 85% office attendance, affecting remote workers.
Tata Consultancy Services (TCS), one of India’s leading IT companies, is under intense scrutiny after employees and unions raised concerns about the company’s compensation practices.
Adding to the frustration is a new internal policy that ties full QPB eligibility to physical office attendance. Employees must clock in at least 85% in-office presence to receive the full bonus, a move critics say is being used to force an end to remote work arrangements post-COVID.
TCS Accused of “Strategic Exploitation” as Bonus Cuts Spark Employee Outrage
TCS employees, particularly at the Assistant Consultant, Associate Consultant, and C4 levels, have expressed growing dissatisfaction over the inconsistent payout structure. Many say they were led to believe their QPB was a guaranteed part of their compensation but now find themselves financially stretched due to unexpected reductions. The AIITEU has received numerous complaints highlighting the gap between promised and actual pay, especially over the past two years.
The shift in QPB policy has also raised questions about fairness and performance-based rewards. By tying bonuses to office attendance rather than output or client satisfaction, TCS appears to be prioritizing presence over productivity. For a company that thrived during the remote work era, this pivot has left many questioning its long-term vision for flexible work.
This issue reflects broader concerns within India’s tech sector, where variable pay is often a significant portion of an employee’s CTC. Transparency in bonus disbursals remains a grey area, and TCS’s situation may become a litmus test for ethical compensation practices across the industry. As other IT giants watch closely, this case could trigger policy shifts or even regulatory scrutiny in the months to come.
In response, the AIITEU has called for stronger government intervention and has urged the Ministry of Labour to enforce greater accountability around variable pay structures. The union insists that companies like TCS must disclose clear bonus policies and ensure fair implementation, especially when those figures are publicly advertised in offer letters and contracts.
As discontent grows, TCS must navigate rising employee dissatisfaction while reassessing its compensation and workplace policies. Failing to act may cost the company both talent and trust.
“Injustice anywhere is a threat to justice everywhere.” — Martin Luther King Jr.