India’s largest IT services provider, Tata Consultancy Services (TCS), has announced the commencement of its campus hiring process for the financial year 2026 (FY26), signaling a strong rebound in the tech sector. This move comes on the heels of the company adding an impressive 11,000 employees in the first half of FY25, marking a significant turnaround from the previous year’s headcount decline.
A Steady Increase in Headcount
In the second quarter of FY25, TCS reported a net addition of 5,726 employees, following the addition of 5,452 associates in the first quarter. This growth trend is especially noteworthy as TCS experienced a headcount reduction of 13,249 employees during FY24, the first such decline in nearly two decades. The company’s current headcount stands at an impressive 612,724, reflecting its commitment to expanding its workforce amidst a competitive IT landscape.
Milind Lakkad, Chief Human Resources Officer at TCS, emphasized the company’s focus on talent acquisition, stating, “We welcomed 11,000 associates in the first half of the year, and we remain on track for trainee onboarding as planned. Our strong talent base and increased learning intensity prepare us well for the complex technology transformations that customers entrust us with.”
A Competitive Landscape
TCS’s headcount growth coincides with similar announcements from its competitors, particularly Accenture. The New York Stock Exchange-listed consulting and IT services firm revealed plans to continue hiring in the Indian market, having added over 24,000 employees to its overall headcount in the fourth quarter alone. This competitive hiring landscape suggests a resurgent demand for IT services, driven by evolving customer needs in a rapidly changing technological environment.
Positive Trends in White-Collar Hiring
The uptick in TCS’s hiring practices aligns with broader positive trends in white-collar employment in India. According to the Naukri JobSpeak Index, which tracks hiring activity, the index reached 2,727 points in September 2024, reflecting a 6 percent year-on-year growth. Notably, the IT sector has demonstrated impressive growth, with an 18 percent year-on-year increase in hiring activity.
This revival is also characterized by a geographical diversification trend, as non-traditional IT hubs show significant growth. This shift not only indicates an expanding job market in cities beyond the usual tech centers but also underscores the increasing importance of diverse talent pools in meeting the demands of the industry.
Looking Ahead
TCS’s proactive approach to campus hiring and its commitment to nurturing talent signal a promising future for the IT sector in India. As the company prepares to onboard new trainees and expand its workforce, it sets a precedent for other firms in the industry to follow suit. This renewed focus on hiring reflects a broader optimism in the market, driven by technological advancements and a growing demand for digital transformation.
In conclusion, the hiring initiatives undertaken by TCS not only showcase the company’s resilience but also highlight a positive shift within the IT landscape. As the sector continues to evolve, TCS’s strategic focus on talent acquisition and development will be critical in ensuring it remains at the forefront of technological innovation and service delivery.