TCS is poised to amplify fresher hiring from engineering campuses in FY26, exceeding the current fiscal year's 40,000 target. This expansion aligns with positive growth projections and a resurgence in campus recruitment. The company is also bolstering its higher cadre workforce and investing in training programs, including AI and GenAI skills development, to meet evolving industry demands.
TCS HR head Milind Lakkad on hiring plans for 2025: More jobs will be needed to be done which will ...
Tata Consultancy Services (TCS) reportedly plans to increase its hiring of fresh graduates from engineering campuses in the upcoming fiscal year (FY26), exceeding the current year's commitment of 40,000. TCS' Chief Human Resources Officer Milind Lakkad told Economic Times that this decision is driven by optimistic growth projections. The IT giant is on track to onboard the planned 40,000 freshers in FY25, providing training in cutting-edge technologies, including Artificial Intelligence (AI) and Generative AI (GenAI).
"I expect that number to go up a bit more in FY26," Lakkad stated, noting that the company's planning for the next fiscal year has already commenced.
TCS, known for its strong cash generation, is also increasing its focus on hiring higher-level professionals. This move aligns with the company's observation of robust growth in certain business verticals. “From the demand side, certain verticals are doing well. We expect to have broad-based growth coming in,” Lakkad said.
This positive outlook follows a period of renewed growth for TCS and other leading IT companies, with increased revenue and deal pipelines in the first half of the current fiscal year. Most companies have resumed campus hiring after a pause of over a year.
Focus on Early Talent Development through Campuses
While hiring fresh graduates remains a cornerstone of TCS's strategy, the company is also investing in training students during their final semesters. This proactive approach aims to make them industry-ready upon graduation.
"We collaborate with hyperscalers, enterprise solution providers, and other technology vendors," Lakkad explained. "We've established a tripartite arrangement involving ourselves, the technology vendor, and academic institutions to offer specialized courses during the students' final semesters, ensuring their swift integration into the workforce."
Reimagining HR and Hiring with AI
Lakkad emphasized that AI and GenAI are transforming every aspect of the HR function, from talent acquisition and development to engagement and deployment. TCS is leveraging AI to streamline recruitment processes. AI-powered tools assist in refining job descriptions, filtering candidate profiles to identify the best matches, and conducting more efficient interviews. AI can also analyze technical skills, assess soft skills, and provide valuable feedback for talent development initiatives. Furthermore, TCS is utilizing AI to enhance employee support through its "TCS Buddy" platform. This AI-powered system provides employees with easy access to company policies and information.
As for the business and technology disruptions impacting hiring in the people-heavy outsourcing industry, Lakkad said, “We have been through multiple technology cycles in the last 30 years. And when this question comes, the answer always is basically about the change in the nature of the jobs rather than the reduction in the job content or reduction in the number of people required to do that job,” Lakkad said adding that one will be able to do things faster and so more jobs will be needed to be done which will require people.
Return to Office and Addressing Industry Disruptions
TCS has implemented a return-to-office policy, encouraging employees to work from the office five days a week. This policy is linked to incentives and aims to foster a stronger workplace culture, facilitate collaboration, and provide valuable learning opportunities for employees.
Regarding the potential impact of global capability centers (GCCs) on hiring, Lakkad does not foresee a significant reduction in hiring volumes. Instead, he believes that the nature of jobs will evolve.
Lakkad also expressed confidence that the growth of GCCs will not significantly impact TCS's business. While GCCs are increasing their in-house technology capabilities, they will continue to rely on IT service providers like TCS for specialized services and expertise.