TCS CHAIRMAN MAKES IMPORTANT ANNOUNCEMENT ON WORK FROM HOME FOR EMPLOYEES: REPORT!

As the country is under lockdown due to the deadly COVID-19 pandemic, most of the IT company employees are working from home. 

As the lockdown is being extended week after week, Tata Consultancy Services (TCS) chairman N Chandrasekaran, pointed out that work from home was not a cost-saving measure. Also, the IT services provider had already signed long-term leases for its workspaces.  

“It is not being done for cost reasons. In fact, TCS has long term leases, so currently it is all investment and more expenses,” Chandrasekaran said at TCS’ annual general meeting. It was TCS's first virtual gathering of stakeholders by any Indian company.

Further giving an insight over the issue, Chandrasekaran stated that work from home arrangement is something that had to be taken up suddenly and the company is not going to take it up as a temporary measure. 

"TCS has not responded to it (Covid-19) as a stop-gap arrangement. TCS can only see and gauge what the trend is going to be. So, we are seeing this as a trend and are making significant investments,” he added.  

Earlier in the week, the company stated that before Covid-19, only 20 percent of its workforce was working from home, but currently 90 percent of the teams work from home due to the lockdown.

Currently, TCS has over 448,000 of the consultants in 46 countries while Tata Sons is the parent entity of TCS.

Recently, at the shareholder address, CEO Rajesh Gopinathan said the company had given “unprecedented” payouts to shareholders since 2016. 

“Over the last five years, we have distributed Rs 112,422 crore cumulatively in the form of dividends and buybacks to our shareholders. This is unprecedented and unsurpassed by any other company in corporate India, he said.