The All India IT & ITeS Employees’ Union (AIITEU) has condemned IT services major Tata Consultancy Services (TCS’) updated associate deployment policy that mandates employees to have 225 days of billability each year and limiting bench timelines to 35 days a year.
The tech workers union called it an “anti-worker policy” to “downsize” teams.
This comes at a time when the IT services industry continues to grapple with lower single digit growth and macroeconomic uncertainty driven by US president Donald Trump’s tariffs and clients tightening technology budgets.
The new policy was announced on June 12 by the Resource Management Group (RMG), which is responsible for deploying employees on projects. As per the changed rules, employees will have to proactively approach the RMG to get assigned on projects to ensure that they have 225 days of billability over 12 months period at any given point.
If the employee misses on the billability target, they will face disciplinary action including cessation of service, the policy said. Moneycontrol saw a copy of the policy changes.
Employees also cannot be on bench for more than 35 days a year.
“While it is understood that longer bench timelines of employees would become a liability for TCS. But, TCS has hired me, and it is their responsibility to deploy us on projects. The accountability has to be on TCS and its RMG team. How could they shift the responsibility on associates? So even if RMG fails to deploy us, the associate will get sacked,” an employee seeking anonymity told Moneycontrol.
AIITEU said in a statement, “The RMG of TCS is known to be responsible for ensuring adequate billability of the employees. While it is true that long period of inactivity has an adverse effect on employees’ compensation, individual growth and overseas deployment prospect, the policy also has an ulterior motive of transferring the responsibility to ensure adequate billability from the RMG to the employees.”
“It is an attempt by TCS Management to justify the organisation’s anti-worker policy of Performance Improvement Plan (PIP) that the management often resorts to, during downsizing,” the tech workers union added.
In March, Moneycontrol had reported that the top IT services majors have been reducing the average bench time and sizes in the past year and a half to defend margins and improve utilisation rates.
It has come down to 35-45 days at present compared to an average of 45-60 days in FY20 and FY21, when the sector’s revenue growth was in the higher double digits. This trend is expected to continue in FY26 too, data from UnearthInsight had showed.
TCS’ upskilling plans, work from office
While unallocated and on the bench, TCS employees are expected to continue upskilling themselves and engage in mandatory 4-6 hours of relevant training through the company’s iEvolve platform, as per the new rules.
TCS offers several learning and development courses through platforms such as Fresco, VLTs, LinkedIn, and so on.
Benched employees also have to “mandatorily attend any in-person training organized by the Branch Talent Development team, as recommended by RMG.”
The TCS management expects associates to be physically present in office for speedy deployment, Work from office exceptions and flexible work arrangements will not apply. Any exception for short-term flexible work arrangements will be applicable only for personal exigency and prior permissions from the RMG.