Compensation Management at Tata Consultancy Services Ltd.: Coping with Turbulent Times in the Indian IT Industry
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
The announcement came as s jolt not only to TCS employees but also to the entire Indian IT industry. The company came in for severe criticism and it was accused of not being transparent with respect to EVA calculation. However, some analysts felt that the pay cuts were a result of the macroeconomic challenges that the Indian IT companies were facing -- rapid appreciation of the rupee against the US dollar and the recession in the US economy (USA was the largest market for the Indian IT companies)
» Analyze TCS' HR practices with respect to its policy
related to compensation of its employees.
Compensation management, EVA, Variable compensation, Fixed pay, Wage inflation, Human resource, Employee Stock Options, Performance appraisal, Employee morale, Incentives, HR policies, Recruitment, Employee satisfaction, Employee attrition, Retrenchment, Retaining, Employee training, Career development, Tata Consultancy Services, Satyam Computers, Wipro, Infosys, Information technology
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