TCS to hire 42,000 freshers in FY26, wage hike uncertainty persists amid global tariff pressures

IT services giant Tata Consultancy Services (TCS) has announced plans to hire 42,000 freshers in FY26, maintaining momentum in its campus hiring strategy even as it treads cautiously on the wage hike cycle due to ongoing global uncertainties.

The company's headcount stood at 6,07,979 as of March 31, 2025, with 625 net additions in Q4FY25. TCS had hired 42,000 freshers during FY25 as well. Speaking on the company’s hiring outlook, Chief Human Resources Officer Milind Lakkad said, "We have onboarded 42,000 trainees in FY25 and the FY26 number will be similar or a little higher. Regarding the wage hikes, we will decide during the year, considering the uncertain business environment."

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Despite the delay in wage revision decisions, Lakkad emphasized that campus hiring remains a long-term strategic focus. He added that hiring plans for FY26 will align with business demands and evolving skill requirements, particularly in emerging technologies.

TCS is also actively scouting for talent with niche skills across global markets, reinforcing its shift towards digital and next-gen capabilities. On the impact of AI on employment, Lakkad clarified that AI would not reduce headcount requirements but instead generate new roles as AI adoption scales up across industries.

The company's attrition inched up slightly to 13.3% in Q4 from 13% in the previous quarter. However, the management noted a 130 basis point reduction in quarterly annualised attrition, indicating a stabilizing workforce.

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TCS reported its Q4FY25 results on Thursday, meeting analyst expectations. However, the company cited delayed project starts and decision-making due to geopolitical developments, particularly US tariff policies.