TCS Salary Hike April 2012 – An Estimate

This post was originally posted by me on 22-Nov-2011. But due to severe parental pressures had to remove it. Now since the tides have subdued so re-posting again. 

For the past 1 Year I had the privilege to estimate software size and cost. This lead me to produce an estimate for the upcoming salary structures across Indian IT Companies and more precisely TCS. I took out my Numerical Analysis book (which I hardly studied during my Engineering) and started with each chapter. I found out ways of Computing the trajectory of a spacecraft by accurate numerical solutions of a system using ordinary differential equations.  The way Hedge funds (private investment funds) carry out numerical analysis to calculate the value of stocks and derivatives more precisely than other market participants. So the process of understanding Numerical & Graph Analysis was becoming interesting.

This study has been prepared on the famous Newton’s Algorithm - Newton–Raphson Method along with Linear Interpolation, Current IT Market Scenario and Macro Level Challenges which IT Companies normally suffer with. So once the techniques were applied I could not believe my eyes with the sort of data these procedures provided and believe me I was not disappointed. The study takes into consideration that most of us would be placed in Band B or Band C. As, people hardly get Band A in TCS with 3 Years Experience. The study fails for Band D because TCS has an unusual process of decreasing the salary rather than increasing it. So by means if you happen to have a Band D (unfortunately) your experience would have increased with a negative hike in salary. It’s weird but TRUE.
The graphs and tables below show a comparative study of estimated salary hike in April 2012 across different TCS Bands: 

  • Moving from Band B to Band B
Description
Salary (Lakhs)
Band
%Hike
Joined TCS
3.15
C
7.93
Hike After Recession
3.40
C
17.64
Apr’10
4.00
B
18
Apr’11
4.72
B
13
Apr’12
5.33


The analysis found that there would be an estimated salary %Hike of around 13% with final salary falling around 5.33 Lpa.

  • Moving from Band C to Band C
Description
Salary (Lakhs)
Band
%Hike
Joined TCS
3.15
C
7.93
Hike After Recession
3.40
C
17.64
Apr’10
4.00
C
8.75
Apr’11
4.35
C
11.44
Apr’12
4.84




The analysis found that there would be an estimated salary %Hike of around 11.44% with final salary falling around 4.84 Lpa.

And finally the Blockbuster:
  • Moving from Band C to Band B         
Description
Salary (Lakhs)
Band
%Hike
Joined TCS
3.15
C
7.93
Hike After Recession
3.40
C
17.64
Apr’10
4.00
C
8.75
Apr’11
4.35
B
22.52
Apr’12
5.33



A whooping estimated salary %Hike of around 22.52% with final salary falling around 5.33 Lpa. Even the graph has Skyrocketed.

Please note this is a salary estimate and has to be kept in the bracket of ± 2% Deviation. So if you happen to get a salary hike in TCS more than the ones which are mentioned above than that’s Great. If by any means the salary hike is less than what is mentioned above then friend’s kindly start preparing your resumes, get those posted on job portals or get yourselves a reference for a company because you are not getting the correct price of the invaluable talent you carry.
In the end, I happen to remember the Royal Stag tag-line It's Your Life Make It Large.

Please feel free to drop in your valuable comments.

57 comments:

Ankush Setiya said...

lets see how accurate this is..

Anonymous said...

Iam a fresher who joined on Jan 2011.. I have my ILP Rating as 3 and Final Anniversary as 4.83(Will that be rounded off to 4 or 5).. Now, Iam unable to raise H2.. So how will my H2 or Performance Band be calculated..

Anonymous said...

Expecting too much, CEO announced about mute of salary hike instead recruiting more freshers for year, just after the announcement of 40% hike in his salary.

WOW a nice leader TCS is lead by. Lets witness downfall of TCS. I am feeling a bit pain since I love TATA group

Sen

Anonymous said...

what if an employee moves from Band B to Band C. Your study didn't include this scenario

Abhi said...

I shud get 5.3 in that case moving C to B.

Anonymous said...

hi
what about
C (3.4 to 4 lakhs pa)
A (4 to 5.12 lakhs pa)
B (5.12 to ? )

is there an increase from A to B ?

Anonymous said...

CEO himself got salary hike in 2011 which increased his salary significantly. It is really sad if employees who actually put lot of efforts so that TCS can lead, are not being taken care in TATA group. I joined after 15th march of 2010 so did not get any band that year. Now it will be my first band in two years time of TCS. I got 4.4 as first year IPF and then H1 and H2 average is 4.5 If I still do not get some thing good then it is all because of seniour management and HR.

Anonymous said...

What abt A to A....?

Sudeep Dutt said...

All,
Please note this study is based for majority of people who get Band C and Band B. Therefore, the analysis does not provide data for Band A and Band D.

Regards,
Sudeep Dutt

Anonymous said...

A rough estimate for B to A??

Anonymous said...

I got 5 rating. so can they give d band....
Actually I asked release on 2nd of april. Can they change my band again???

Anonymous said...

How about moving from Band C to Band A. If we estimate it as 30% and it becomes true, then I am the luckiest for this year as per TCS standards. :)

kiran said...

This is my first performance band after joinin TCS as a fresher... I got A band this time... My current salary is 3.49 l... what will be the expected hike in my sal for H2 and on 2 yrs completion( ASE to SE ) ?

Sudeep Dutt said...

@nApStEr: Getting Band is fully dependent on your PL and ISU (i.e. Curve fitting). A actual example, last year I got 3.8 rating so I should get Band C but I got Band B (Telecom ISU)and my friend who got rating 4.5 should get Band A got Band C (Government ISU). So this is all dependent on the ISU you are working on and rapport with your PL.

Hope this clarifies.

Regards,
Sudeep Dutt

Anonymous said...

what about the hike for an associate (ASE) getting band for the first time?

Anonymous said...

Could you please explain what is B and B , B and C?

Anonymous said...

Hi,

I have got "B" band in this year. Last year i got "C" band in the same "LHSC" account. But now i came to know that the salary will not be hike as last year. Do you have idea how much will be the hike.

SHRIKANT said...

I would like to see a similar graph for moving from B to C ... joining being 3.15, then increased to 3.49 in Dec 10 (1 yr completion), 3.78 in Apr 2011 for B band, then 4.57 in Jan 2012 (2 yr confirmation).. So what wud it be in case in get C band this year?

Anonymous said...

This is my first performance band after joinin TCS as a fresher... I got c band this time... My current salary is 3.42... what will be the expected hike in my sal for H2 and on 2 yrs completion( ASE to SE ) ?

Anonymous said...

The worst happened with those who joined in 2008/09 ie 2008 passouts. They did not get any hike on completion of 2 yrs!! So the current salary of 2008 passouts who currently are C is ~ 4.35 and B is ~ 4.75. The people who passed out in 2009 and have similar bands have more salary than 2008 passouts!!!!!!

This can happen only in TCS!!!

Anonymous said...

Hike should not be more..7 to 8%

Anonymous said...

Chandra already mentioned after 3rd Qtr result, that this year hike may be muted.

Anonymous said...

Well.... nice try keep it up.... but HR managers and CFO doesn't dont look into any model.. they look at "BUSINESS Stake Holders" not Employee's while deciding Salary...for them Business holder(read Share holder's interest is the only thing they should be worried of.. and after 220000 employee even if 40000 leave nothing stops...many are still waiting outside to come and join the company.. BTW I got B last yr ..and same "B" this year as well and I "EXPECT" 0.0 % hike..maybe they will cut something :-|

Sudeep Dutt said...

Infosys has already stated that wage hikes have been put on hold for FY2012. Let us see what TCS does on 23-Apr-2012.

Anonymous said...

well tomm is the day.
Ofcourse tcs already did say that there would be no hike this year instead there will be more recruitment...there is a rumour flying that this year hike may be about 7% -8%.

Sudeep Dutt said...

On 23-Apr-2012, Commenting on wage hike TCS CEO Chandrasekaran said the company has gone ahead with wage increase and employees will get hike of 8 percent on an average depending on their grades.

Sudeep Dutt said...

Few Points about TCS at the end of Q4 2012:

- The company had successfully undertaken the largest ever hiring effort in its history by adding and integrating 70,400 professionals during 2011-12. This accumulates to a total of 238,583 Employees at the end of Q4 2012.

- The company has maintained high utilisation rates in the fourth quarter with utilisation excluding trainees at 80.6 per cent, while utilisation including trainees was at 71.3 per cent.

- The overall attrition rate was lower at 12.2 percent with IT attrition at a low of 11.05 per cent and BPO attrition at 21.6 per cent.

- The average age of a TCS employee is 28 yrs and 62.4 per cent of the workforce has more than 3 years experience while 31.6 per cent of the workforce comprised of women.

Anonymous said...

I moved from B to B but salary didnt reach 5.33 lpa as described above...

Anonymous said...

instead of 5.33 its 5.06
and instead of 4.84 its 4.64

:(

Anonymous said...

I got 5.12 instead of 5.33 as described above. I also moved from B to B. My previous year salary was 4.72 lpa.

Anonymous said...

Me too.... I asked around 16 friends of mine who also faced the same thing...

So it looks like those who moved from B to B (designation SE) have all got the same thing...

And the worst thing is that those who joined in 2008 did not get the 2 years completion hike which 2009 batch enjoyed.

Now the positive thing is that who joined in 2008 will get a promotion this year (ITA)...so all the best...

So the best thing is now switch company after getting the promotion hike...once you switch you will get a hike of around 40% on your new salary after promotion.

Sudeep Dutt said...

All: Those who joined in the year 2008 please note that promotion to ITA depends upon ISU requirements and the rapport which one shares with his/her PL. For example, in a project if most of the people are from 2008 batch then obviously not all would be promoted.

The best would be to switch company so as to get a hike around 40%.

tcser said...

I have rating 3. but I got D band and my salary reduced by 60000. Is it fair. I had also asked for release because of some genuine reason. Is it the factor in deciding the reduction in my salary.
This seems to be purely buttering and nothing more. TCS is good for nothing. People come to know about TCS once they join it . From outside it is good only and from inside it is good for the " CHATOOS" whose salary gets raised.

Sudeep Dutt said...

@tcser: I completely agree with your point of view. It is very unfortunate to know that you received Band D and your salary decreased. I would recommend you to look for a new job by putting your resume in job portals.

Anonymous said...

I got 5.12 instead of 5.33 as mentioned in the analysis. I moved from B to B. My previous year salary was 4.72 lpa.

Sadly I joined in 2008 and I didn't got any hike after 2 years. When I asked my friends, who moved from ASE to SE, got hike nearly 1LPA. So a 2 yrs associate with same B( C band to B Band) band gets 5LPA while a 3.75 yr associate gets 5.12. What rubbish is this?

Anonymous said...

Thats true. I think since TCS kept the promise to 2008 passouts that their joining would sure come and that too not with much delay like other IT biggies, they tend to take us 2008 passouts as granted!!!

Anonymous said...

Worst is for 2008 batch ..thats why i left the Company

Anonymous said...

a note for EP's joining TCS , the first appraisal which is Final Anniversary , you would HARDLY get a hike ! Yes , the justification you would get is that you were hired at a high salary at inception.
So technically you would have to work for 2 years with the same salary for your first considerable hike..
Think smart before joining TCS OR else Experience Uncertainty !

Anonymous said...

Do not join TCS as experienced professional. You will not get any salary hike on your final anniversary. The same old reason of rationalizing your salary with other guys of same grade. Which means for 2 years your life will be stagnant. They will not tell you this when they give an offer. Be aware!! it is a big catch and no escape!!

Anonymous said...

I joined tcs in 2008 with 3.3 as package(PG graduate),i got 4.9 in 2011 as my band was B,now i got band A and got 5.75 as my package,do any one tell is this the correct one?cos my friends told even B band guys got 5.5L.pls help

howto said...

Joined TCS on 1st April 2011. Am I eligible for the average salary hike of 8% in 2012?

Anonymous said...

I got band D in H2 and my salary decreased by 6000. Now, I am completing 2 years on 21 june this month. so, am i going to get any salary hike or will it remain the same????

Mrinal said...

how to get in TCS??

Anonymous said...

what will be the hike after completing 2 years in TCS...(ASE to SE) and the performance band is D :(

Anonymous said...

I selected in TCS for Network admin profile. My current company CTC is 4.97 and got 5.37 here in TCS (C1 Band) with 2.3Years exp. How much growth i will get here yearly. Please suggest as here in current org i am already assigned in good project but for brand name i want to join TCS.

Anonymous said...

if u get band C in 2nd year.. After completing of 2 years ur salary will be 4.24 and for B band 4.56... :)

Anonymous said...

Hi Friends, I will complete my 4 yr in July and i got C this year . Last year i got D. So will i be get ITA promotion or not ? . If yes when had how to apply for that.

Anonymous said...

i completed 2yrs and my previous band was B, i got around 4.3 instead of 4.56 . is the above prediction wrong?

Anonymous said...

In my previous H2 I got D band. In my PE appraisal this year I got 4.22 rating. I am going to complete my 2 years in TCS and promoted to SE. Can anyone tell me what would be my salary hike ?

Anonymous said...

Hi Guys,

I am a lateral joinee as i joined with 3 yrs exp on 3rd April'13. When will I get my 1st appraisel(1st Anniversary) & approx how much it will be as I am not eligible for BAND this year.

Anonymous said...

Thanks for the post...eye opener...:)
The process is so complex that even experienced professionals are not clear about it..

Anonymous said...

I think they are using two factors, experience band and previous performance band to arrive at new CTC.

Anonymous said...

could anyone please let me know the exact package for a A band holder after completion of 2 years in TCS .

Anonymous said...

Hi All,

I joined TCS in Dec2009. I completed my 4th year on 29dec2013.But I had got D band in March

2013,C in March 2012 and C in 2011.Promotion was initiated in current project during 4th year

completion on dec29 2013,but corporate HR put that on hold.

Having said above,my manager,reviewer approved for ITA promotion and local HR also approved for

promotion when I was completing 4 years of service on dec2013.But it remained pending at

corporate HR. I followed up with current project manager and he advised that it may got delayed

by one quarter and would be getting one TCS Quarterly result date on next quarter,means April17

2014.

Considering above grievance,
1)do you feel that I will get promotion on Date April 17 2014.
2)My new band in March2014 will be C band as expected,so please tell me whether Promotion will

come first or Annual Hike will come first.
3)My current CTC is Rs4.25Lakh pa, so upon new C band, I AM expecting hike since my last year

band was D.sO HOW MUCH HIKE it can be?people advised that Rs50-60k pa for getting D to C

band.Is it correct.
4)What is the normal pay scale for ITA for my case.As you can see that current ctc is

Rs4.25lakh, new hike is expected.Then ITA hike is how much.
5)If ITA PROmotion is rejected for D in March 2013 then when can I get ITA promotion letter.Do

I need to initiate again when I will complete my 5th year on dec2014
6)Considering that lots of decisioning is pending,please advise whatever you have experienced.

Much thanks in advance

Anonymous said...

i got 4 rating in my final anniversary(august 2013) and in h2 i got a D band(april 2014)…my present package is 3.8..will my salary reduce?? if i get a D band again will I get terminated?? please reply as I am in deep tensed situation

Anonymous said...

My band last year was C and now I got A band, my current salary is 4.03 after becoming SE, what will be my salary after appraisal according to band.

Someone has to prepare band change table here.

Unknown said...

Seems this thread is being obsolete as no one is asking any more questions now... is everyone satisfied with bands or everyone aware enough now or the people who were driving TCS have changed now?

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