The IT industry witnessed a seismic shift in June 2025 when Tata Consultancy Services (TCS) implemented a new associate deployment policy on June 12, 2025, requiring employees to be billed for at least 225 business days annually and limiting bench time to just 35 days. This bold move has sparked intense debate about the future of workforce management in India’s tech sector.
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What’s New in TCS’s Bench Policy?
TCS now mandates that employees must be billed for at least 225 business days annually, limits bench time to 35 days, and enforces 4–6 hours of daily upskilling during bench periods, alongside active engagement with the Resource Management Group (RMG). This represents a fundamental shift from the traditionally flexible approach to employee utilization.
Key Policy Changes at a Glance
| Aspect | Previous Policy | New Policy (2025) | Impact |
|---|---|---|---|
| Minimum Billing Days | Flexible approach | 225 days mandatory | Higher utilization pressure |
| Maximum Bench Time | 60-90 days typically | 35 days maximum | Reduced idle time |
| Upskilling Requirements | Optional | 4-6 hours daily | Mandatory skill development |
| Utilization Ratio | Variable | 75.1% including trainees, 82.4% excluding trainees | Performance-driven approach |
Why Did TCS Make This Change?
Market uncertainties and increased pressure on margins have led to stricter scrutiny of employee productivity. The policy aims to address several critical issues:
Financial Efficiency: Companies continue to bear salary costs without billing recovery when employees remain on bench for extended periods.
Skill Relevance: IT professionals are expected to upskill every 6 months to stay relevant in the rapidly evolving technology landscape.
Workforce Optimization: Organizations evaluate whether benched employees are trainable or adaptable rather than carrying non-productive resources.
Industry-Wide Impact: The Ripple Effect
TCS new bench policy could influence other large software services firms to adopt similar measures. Industry experts predict this will create a domino effect across the IT services sector.
Milind Mutalik, Former Chief People Officer at Accolite Digital, emphasizes that “productivity & efficiency helping topline & bottom line would come only when the current & future utilization is linear”.
Employee Perspective: Challenges and Opportunities
Challenges
- Reduced Flexibility: Employees will have far less breathing room between assignments
- Performance Pressure: Those unable to secure projects quickly may face performance scrutiny
- Skill Adaptation: Some professionals prefer working only within familiar domains or outdated skill sets
Opportunities
- Continuous Learning: Mandatory upskilling ensures career relevance
- Faster Career Growth: Higher utilization can lead to better project exposure
- Industry Leadership: TCS employees will be at the forefront of the new efficiency model
Union Response and Employee Rights
Employee unions have a valid perspective on these policy changes, especially in cases of unfair dismissals. However, the focus is shifting toward constructive adaptation rather than resistance.
Upskilling during bench time offers a more practical and constructive approach than raising protests, according to industry experts.
Future of Bench Policies in IT
Bench policy transformations in 2025 reflect a sharper articulation of a long-standing principle: employability. The industry is moving toward:
- Continuous Skill Development: Regular upskilling becomes non-negotiable
- Agile Workforce: Those who remain agile and adaptable will always find opportunities
- Performance-Driven Culture: Merit-based deployment becomes the norm
For more insights on IT industry trends and career development, explore our comprehensive guides on technology careers and professional development.
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Frequently Asked Questions
How does TCS’s new bench policy affect employee job security?
TCS’s new bench policy fundamentally changes job security dynamics in the IT sector. The TCS deployment policy 2025, with its 225 billing days mandate and 35-day bench time cap, is a bold step toward optimizing workforce efficiency. While this creates performance pressure, it also offers opportunities for skill development and career growth.
Employees who actively engage in upskilling during bench periods and demonstrate adaptability will likely see enhanced job security. However, those who resist change or fail to meet the new utilization requirements may face greater uncertainty. The policy essentially shifts from a protective model to a performance-driven approach, making continuous learning and professional development essential for long-term career stability.
What should IT professionals do to adapt to the new bench policy landscape?
IT professionals must proactively adapt to succeed under the new bench policy framework. Professionals must now continuously assess their relevance in a rapidly changing industry by staying hands-on with emerging technologies or building expertise in project management and specific domains.
The key strategies include: embracing mandatory upskilling during bench periods, being flexible about project assignments and locations, developing multiple skill sets to increase deployability, and maintaining active engagement with Resource Management Groups. The pace of change has intensified, making upskilling essential for redeployment. Those who view this as an opportunity for professional growth rather than a burden will thrive in this new environment.
