TCS offers CTC of 7.5 LPA to newly qualified CA's, sparks debate on pay package

Various CA's on LinkedIn questioned the salary offered by TCS, with some of them asking how it is justified to offer a low package to the recently qualified.

The recent CTC disclosure by Tata Consultancy Services (TCS) for recruiting newly qualified Chartered Accountants (CA) has sparked a discussion among working professionals.

As per the job post, the job location is in Mumbai and TCS offered a total CTC of ₹7.5 LPA of which the fixed CTC stood at ₹3,86,652 and a variable CTC of ₹3,63,348.(Bloomberg)

TCS in their offer letter to the newly qualified CAs offered a CTC of ₹7.5 LPA for the role of 'Assistant System Analyst -Trainee’. The job role was offered in Mumbai and the mode of interview as mentioned in the official post would consist of a personal interview & written test. The interview is scheduled to be conducted on September 10, 2024.

However, this job post has kicked off some heated discussions between the CA's regarding the package that the firm is offering for a CA that needed the individual to work in a metro city like Mumbai.

Various CA's on Linkedin questioned the salary offered by TCS, with some of them asking how it is justified to offer a low package for students who have tirelessly worked hard to crack one of the toughest exams in the country.

“I am taken aback to hear the news that TCS is hiring Newly Qualified CAs on role for a total CTC of 7.50 Lakhs. That too in 2024. As an organisation of high value, TCS should have come up and only offered a role if they matched the ICAI minimum salary criteria. It is demotivating for every CA candidate to see,” said CA Lijil Lakshman, a Faculty for CA with 10 years of experience in the industry.

As per the job post, the job location is in Mumbai and TCS offered a total CTC of ₹7.5 LPA of which the fixed CTC stood at ₹3,86,652 and a variable CTC of ₹3,63,348.

CTC offered by TCS to newly qualified CA's(LinkedIn Post @CA Chirag Chauhan)

“ The recent news of low salary packages offered to fresh Chartered Accountants is a stark reminder of the growing disparity between the rigors of the CA course and the financial rewards it promises. This development is not just a financial setback but a serious blow to the moral fabric of the profession. It undermines the respect and prestige traditionally associated with the CA designation. If the industry fails to value the expertise and skills of CAs, it sends a negative message to the public about the importance of the profession. This can have far-reaching consequences for the overall credibility and integrity of the accounting sector,” said CA Allen Alex, a Faculty for CA.

How it affects the recently graduated CA's

“ It's disheartening to see that TCS, a NIFTY company, is offering such an abysmal pay to Chartered Accountants. They are not considering the blood and sweat that has been shed to mold a Chartered Accountant. We have spent hours honing our skills to become part of the ICAI Fraternity,” says a CA fresher from Kerala.

“ Young CAs, who have invested countless hours and immense mental fortitude into qualifying, deserve far better recognition. The news is likely to instill a sense of disillusionment and question the value of their hard-earned qualification. Such a scenario can erode the confidence and motivation of aspiring CAs, potentially leading to a decline in the quality of future professionals,” says CA Allen Alex, talking about disheartening the upcoming Chartered Accountants.

A response from TCS to our email query was not available till the time of publishing of this story.