TCS: According to Mint, employees at the largest IT company in India who fail to achieve their minimum attendance criteria would not be eligible for a performance incentive. A letter sent by Tata Consultancy Services Ltd (TCS) to its employees in the early hours of April 18 states that individuals who have less than 60% attendance at work or who have only worked three days out of five will not be eligible for a performance incentive, mint reported.
TCS Implements Attendance-Linked Policy
To punish employees who have been inconsistent or unwilling to work from home, TCS has connected its work-from-office policy to quarterly variable pay or an annual incentive. Employees who persistently disregard the “85% and above” office attendance rules risk “disciplinary action,” according to the internal message.
Email inquiries to TCS were not returned as of the time of publication. The memo from TCS stated that seat availability at its physical locations will be taken into account when determining the performance bonus that employees are eligible to receive. It also stated that any legitimate deviations from the aforementioned directives must be documented and approved via Ultimatix, the company’s internal portal for employee-related functions.
Link Between Attendance and Performance Bonus
Workers who report to work four days a week or more will receive 100% of the performance bonus that the management of the company determines for the period, while those who attend work seventy-five to eighty-five percent of the time will receive seventy-five percent of the bonus.
Half of the performance incentive will be awarded to employees with an attendance rate of 60% to less than 75% in the office. Furthermore, the software services company mandates that its staff members work 45 hours a week, or nine hours a day, in the office, mint reported.According to Mint, Tata Consultancy Services (TCS) has implemented a stringent attendance policy that links performance bonuses to in-office attendance.
Variable Pay Structure
Employees receive variable pay on a quarterly or annual basis, depending on how well they perform above and above their base pay. The employer determines the amount of variable pay, which varies from month to period.
On April 18, Mint reported revealing that TCS had implemented pay increases using office attendance as a gauge. These parameters are now being used by the software services company to calculate variable pay.
Pioneering Approach by TCS
With this breakthrough, TCS will become the only Indian IT company to tie variable rewards to its mandate of having employees return to the office. TCS has been working to get its staff back to the office. TCS originally requested that staff members show up to work at least three times a week in February of last year. Employees were instructed to work five days a week from the office starting in January of this year.
The Mumbai-based IT company had threatened to fire its staff members if they did not go back to work by March earlier this year. According to an internal document sent by TCS to its staff, if they did not work from the office by March, it will affect their performance reviews and assessments, Mint had reported on February 9.