India’s largest private sector employer Tata Consultancy Services said that the company will ‘honor’ all the offer letters but there will be delays in the process.
For several months now, TCS has been postponing the onboarding of lateral hires by at least three to four months, according to a media report.
All these hires had been initially facing a one month delay in onboarding, however, according to the media report, these people are now facing at least a three month delay in onboarding.
“We obviously honor all offers. There will be some delays a quarter here and there but will be coming all along,” said Milind Lakkad, CHRO of TCS.
Several students who were given offer letters during their campus placements also faced the same issue.
Some students reportedly with offer letters in 2022 are still waiting for their confirmation letters, according to various media reports.
The company has reportedly postponed the onboarding due to project deferrals and budget cuts.
Lakkad stated that the company has always been investing heavily in fresh talents and continues to hire fresh talents.
“Trainee hiring continues to be what we have been doing all along and we will continue to onboard trainees, we continued to onboard trainees last quarter, we will continue to onboard trainees this quarter,” Lakkad said.
TCS has reduced its attrition rate and increased its hiring, he said adding that the company now is witnessing an increase in its hiring rate compared to its attrition rate.
Not just TCS, several other IT companies like Infosys, Wiprro are also likely to hire 30% less in the FY 2024 due to a weak deal pipeline amidst the fear of recession in the US.
Amidst the news of cut back on hiring new joinees, thousands of freshers from 2022 and 2023 batches of engineering colleges who have secured jobs with these companies are facing persistent delays in onboarding.