- TCS focused on workforce readiness with salary hikes and AI skill development during Q1 earnings call
- HCLTech highlighted AI infrastructure, sovereign AI, and enterprise platforms as future growth drivers
- TCS honored all campus job offers and aligned fresher hiring with business demand amid spending caution
Salary hikes, hiring and workforce readiness were among the key themes in Tata Consultancy Services' June-quarter earnings call. HCLTech, meanwhile, spent much of its quarterly briefing outlining how artificial intelligence could create new revenue opportunities through enterprise AI platforms, sovereign AI and AI infrastructure, underscoring two different approaches to the industry's next growth phase.
The contrast goes beyond quarterly earnings. Both companies see AI as a key growth driver, but their management teams used the earnings calls to emphasise different priorities. TCS focused on workforce readiness and execution, while HCLTech concentrated on AI infrastructure, sovereign AI and enterprise platforms, signalling where it expects future growth to emerge.
TCS Bets On People As AI Reshapes Delivery
TCS, in its earnings call, reassured investors on its workforce strategy despite continued uncertainty in client spending.
Chief Executive Officer and Managing Director K Krithivasan said delays in discretionary technology spending persisted during the quarter as clients remained cautious amid geopolitical tensions and macroeconomic uncertainty.
Even so, the company reaffirmed its commitment to hiring and employee development.
Chief Human Resources Officer Milind Lakkad said TCS had announced annual salary increments, honoured all campus job offers and would continue hiring while aligning fresher recruitment with business demand.
"We have honored all the job offers and will do so for the rest of the year. Fresher hiring will be recalibrated based on the demand outlook," Lakkad said.
Lakkad also said employees completed 15 million learning hours during the quarter and that more than 114,000 associates now possess higher-order AI skills, reflecting TCS' emphasis on preparing its workforce for AI-led delivery.
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HCLTech Takes Different Approach
Chief Executive Officer and Managing Director C Vijayakumar used the opening remarks to describe how AI could create new revenue opportunities through enterprise AI platforms, sovereign AI, AI factories and specialised infrastructure.
"We began FY27 with a focus to grow our advanced AI-led offerings, increase our relevance with clients, capitalize on the full range of AI-related market opportunities in our pursuit of becoming the world's best AI solutions provider," Vijayakumar said.
He added that HCLTech aimed to "benefit disproportionately from the AI-native and AI-amplified opportunities" while staying "ahead of the deflationary curve rather than be defined by it."
The company reported advanced AI revenue of $172 million during the quarter, up 62.1% from a year earlier, while first-quarter bookings reached a record $2.4 billion, excluding a large deal signed after the reporting period.
Vijayakumar said HCLTech sees opportunities across AI infrastructure and AI-led services, adding that falling inference costs should accelerate enterprise adoption and create additional implementation work for technology providers.
That discussion took centre stage over salary revisions and broad hiring plans.
ALSO READ: HCLTech Q1 Attrition Rate Rises To 12.7%, Headcount Falls By Over 3,000
Different Workforce Strategies, Same AI Destination
The two companies also differed in how they discussed talent.
TCS made people a central part of its earnings narrative through salary hikes, hiring plans and AI training.
HCLTech discussed workforce development largely in the context of capability building. Vijayakumar said about 24,000 employees participated in AI and generative AI learning programmes during the quarter, while more than 200 employees earned Black Belt AI certification. He added that revenue per employee had increased for five consecutive quarters, which management cited alongside its investments in AI capability building.
Both companies see AI as central to their long-term strategy, but their earnings calls suggest different priorities. TCS emphasised workforce readiness through hiring, salary hikes and AI skilling, while HCLTech focused on expanding its role across the enterprise AI value chain through platforms, infrastructure and specialised services.
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