Introduction
In a significant move aimed at
boosting productivity and aligning individual efforts with business outcomes, TataConsultancy Services (TCS), India’s largest IT services company, has rolled
out a new deployment policy. As of June 17, 2025, TCS employees
are now required to clock at least 225 billed business days each year.
This new guideline is part of a broader utilization-driven strategy meant to
ensure efficient allocation of resources across global projects.
But what does this mean for the over
600,000 employees working at TCS? How will it impact work-life balance,
flexibility, and job satisfaction? Is this a trend that other IT companies
might soon follow?
Let’s break it down in this detailed
report.
What
is the New TCS Deployment Policy?
TCS’s new deployment policy
mandates that every employee must contribute at least 225 billable days in a
financial year. This means a larger portion of an employee’s work must be
aligned with client-related tasks that are directly billable to customers.
This effectively limits the
number of non-billable or "bench" days, where an employee is not
working on a revenue-generating project.
Key
Points of the Policy:
- Minimum 225 billing days required annually
- Reduced tolerance for extended bench periods
- Focus on utilisation as a key performance metric
- Applies across designations, from freshers to
experienced professionals
- Implemented immediately with close monitoring of
compliance
Why
Did TCS Implement This Policy?
According to company insiders and HR
documents accessed by media outlets, the move is part of a utilisation-centric
business strategy.
Here
are some possible reasons:
- Boosting Profit Margins:
With global IT spending tightening due to macroeconomic conditions, companies are under pressure to do more with less. Increasing billable days means higher revenue per employee. - Utilisation as a Core Metric:
Utilisation rate is a key indicator of how efficiently a company uses its workforce. A higher utilisation rate typically leads to better margins and improved quarterly financial performance. - Client Expectations and Global Delivery:
Many international clients demand lean, productive teams. Higher utilisation means better delivery timelines and cost-efficient execution. - Industry Competition:
Rival companies like Infosys, Wipro, and Accenture are also focusing on tightening bench time and increasing accountability.
How
Many Days Are There in a Typical IT Work Year?
Let’s break it down with some math:
- Total Days in a Year: 365
- Weekends (Saturday + Sunday): ~104 days
- Public Holidays: ~10–12 days
- Earned Leave, Casual Leave, Sick Leave: ~20–25 days
That leaves around 225–230
working days in a year.
By setting the minimum billing target at 225, TCS is asking for
maximum project engagement, essentially encouraging employees to remain
billable throughout the entire year.
Impact
on Employees: Mixed Reactions
The announcement has created ripples
among employees, with some welcoming the move as a step toward clarity and
performance measurement, while others express concern.
Concerns
Raised by Employees:
- Reduced Flexibility:
Many employees, especially those with families or health concerns, worry this might reduce flexibility for personal time off or skill-building breaks. - Work-Life Balance:
There’s a fear that pushing for 225 billable days could extend working hours, especially if client project timelines are aggressive. - Increased Stress on the Bench:
Employees who are on the bench (not currently on a billable project) may face pressure to quickly find roles, which could create anxiety and job insecurity. - Impact on Learning & Development:
Non-billable days are often used for upskilling or internal innovation projects. The policy might unintentionally reduce opportunities for growth.
Voices
from Within:
“We understand the business
rationale. But the execution must consider individual circumstances,” said a
TCS employee in Hyderabad.
“Earlier, a few weeks on the bench
were okay. Now it feels like a race against time to stay relevant,” said a
fresher based in Pune.
What
TCS Management Says
TCS management has maintained that
the policy is not punitive but strategic. A senior HR official mentioned:
“The 225 billing day policy is part
of a larger effort to improve delivery efficiency and maintain performance
standards. It is not designed to overburden employees, and we will
implement it with sensitivity.”
They also highlighted that exceptions
will be allowed in special situations such as:
- Maternity or paternity leave
- Long-term health issues
- Training periods for new technologies
- Internal transitions
Additionally, TCS assured that managers
will receive training to support their teams in meeting targets while
keeping morale high.
How
Will the Policy Be Implemented?
Performance
Monitoring Tools:
TCS has strong internal tracking
systems like Ultimatix and other project management tools that can
monitor:
- Project allocation
- Hours logged
- Billing status
- Compliance with utilisation targets
Managers will be expected to work
closely with team members to track, report, and manage utilisation
weekly and monthly.
Bench
Management Teams to Be Strengthened:
TCS is also likely to reinforce
its bench management and workforce planning teams to ensure smoother
transitions between projects and faster project deployments.
Industry
Reactions and Analyst View
Industry experts view this as a logical,
if tough, step in today’s economy.
What
Analysts Say:
- Efficiency over excess:
"IT firms today can’t afford large bench pools anymore. TCS’s new policy signals a shift toward a leaner, more agile workforce," says Ritu Anand, an HR analyst with NASSCOM. - A trendsetter:
“Expect similar deployment models from Infosys, HCL, and even product firms soon,” says Ganesh Rao, senior consultant at Gartner. - Morale balance is key:
“This strategy will only work if balanced with employee well-being programs,” notes HR consultant Divya Mehta.
Comparison with Deployment Models of Other IT Firms
| Company | Deployment Model | Utilisation Target | Comments |
|---|---|---|---|
| TCS | 225 billable days mandatory | ~95% of available workdays | Aggressive push for billing |
| Infosys | Flexible, with rolling average targets | ~80–85% | Slightly more lenient |
| Wipro | Varies by business unit | ~85% | Includes training in billable hours |
| Accenture | Performance-based deployment + automation | N/A | Focus on outcome-based metrics |
| HCLTech | Project-based with onshore-offshore mix | 75–80% | Balanced, but evolving |
What
Employees Can Do to Adapt
If you’re a TCS employee or work in
a similar IT firm, here are some tips to adapt to the new policy:
- Be Proactive with Managers:
Regularly discuss upcoming projects and align your skills accordingly. - Upskill Continuously:
The faster you get deployable, the better your chances of meeting the billing target. - Track Your Time:
Use timesheets and project trackers carefully. Errors can impact your utilisation metrics. - Plan Leaves Smartly:
Try not to bunch up leaves unnecessarily. Spread them to stay within targets. - Be Open to Diverse Roles:
Say yes to internal gigs, short-term projects, or shadowing opportunities if they’re billable.
Is
This the Future of IT Workforce Management?
Possibly yes.
With the industry moving toward cost-optimised,
AI-assisted delivery models, companies will increasingly expect their
employees to remain actively billable. This doesn’t necessarily mean
working more hours — rather, it means being better aligned with project
needs.
Utilisation-based deployment is becoming a key metric, just like coding efficiency,
client satisfaction, and delivery quality.
Final
Thoughts
The TCS Deployment Policy
mandating 225 billable days per year marks a major shift in how
the company manages its vast workforce. While it aligns with business needs and
productivity goals, it also requires careful implementation to avoid burnout
and dissatisfaction.
Employees will need to upskill,
stay engaged, and communicate effectively with their managers to meet these
new expectations. TCS, on its part, must ensure that it doesn’t lose its people-first
culture in the race for efficiency.
The policy could very well set a precedent
in the Indian IT industry — making it one of the most talked-about HR shifts
of 2025.
FAQs
– TCS Deployment Policy
Q1: What is TCS’s new deployment
policy about?
A: It requires employees to have at least 225 billable days per
year to enhance productivity and resource efficiency.
Q2: Does this mean employees must
work more hours?
A: Not necessarily. It means that a larger portion of their work must be
aligned with client-billable projects.
Q3: Are there any exceptions to the
policy?
A: Yes. Special situations like health issues, parental leave, or
training periods may be exempted.
Q4: What happens if someone fails to
meet the 225-day target?
A: While details are unclear, underperformance in utilisation may affect
appraisals, role transitions, or future project allocations.
Q5: Is this policy common in the IT
industry?
A: It’s becoming more common. Many companies now emphasise utilisation
rates as part of performance reviews.
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