Green cards not key to workforce strategy: TCS

TCS CEO K Krithivasan said green cards have never been a key part of the company's workforce strategy, as it has significantly reduced permanent residency applications for H-1B employees and stepped up local hiring in US. The company said the US suspension of green card processing would not fundamentally alter its talent management approach. "In the last few years, what Sudeep (CHRO) and his team have been applying for is a single-digit kind of green card permanent residency," Krithivasan said. TCS has been increasing local hiring in US, where locally hired employees now account for 50% of its workforce. The company plans to hire another 15,000 people in the country over the next five years. TCS had around 11,000 H-1B employees in its 30,000-strong US workforce. TCS said its model involves employees travelling from India to work on client projects in the US for two to three years before returning. "There is a continuous movement of talent between onsite and offshore," Krithivasan said. TCS said fresher hiring would continue to be driven by demand rather than a fixed target of 40,000. The company onboarded 10,000 freshers in the Sept quarter, compared with 14,000 in the preceding quarter. It has also increased its intake of AI-native talent from Indian universities by 50% as it builds capabilities for AI-led technology services. "We have increased intake by 50% because we find very good success in them being very natural. They're building great credibility with our customers and able to deliver outstanding results," TCS chief human resources officer Sudeep Kunnumal said. TCS added 4,258 employees during the quarter, taking its headcount to 5.9 lakh. The company's annualised AI revenue crossed $3.1 billion, accounting for more than 10% of overall revenue. Krithivasan said TCS was seeing a new category of deals, including those with Porsche and Best Buy, in which it helps clients rethink their operating models as AI changes business requirements. "We are not looking at it as acquisition of revenue or protecting revenue. These are two new classes of deals where we help the customers transform them fully," he said, adding that the objective was to help clients become AI-first enterprises. TCS expects AI-led opportunities to offset productivity-driven deflation in traditional technology services, though a stronger net growth contribution could take time. Krithivasan estimated a six-quarter to three-year horizon for the balance to shift more decisively. Technology spending could remain flat or see a slight increase as clients invest in AI, technology modernisation and business operations, he said.