TCS raises variable payouts for senior staff

Tata Consultancy Services (TCS) has increased quarterly variable payouts for a section of its mid-and senior-level employees in the fourth quarter of FY26, signalling cautious optimism around business momentum after several subdued quarters for the Indian IT sector.

People familiar with the matter said employees in the mid-to-senior grades received 60-80% of their variable pay for the January-March quarter, an improvement from the 20-50% payouts seen across several senior bands in earlier quarters. For nearly two years, TCS maintained these payout levels as it recalibrated its payout criteria and policies.