TCS Partners with a US-Based Firm for Contractual Hiring: Report

Tata Consultancy Services (TCS) has appointed US-based Pontoon Services to handle its hiring process for contractual workers, as per the Mint report. This change shifts the coordination responsibilities away from TCS’s internal resource management group (RMG) to an external vendor.

As per the report, over 2 dozen staffing vendors will now work through Pontoon instead of dealing with TCS directly. All candidate profiles for contract roles must be submitted on Pontoon’s platform, which will carry out the initial screening before forwarding shortlisted names to TCS for final selection.

Hiring for Contractual Roles Only

This only applies to contract staffing. TCS will continue hiring for full-time roles through its existing campus recruitment and internal HR processes. Contract workers are generally engaged for up to a year and remain on the payrolls of the staffing vendors.

Several staffing firms have raised concerns over the new arrangement. Many vendors claim they have not been allowed to directly communicate with TCS for updates or clarifications. Reports suggest they have been coordinating with Pontoon for the past two months.

Read more: TCS and Weatherford Strengthen Ties to Drive AI-Led Business Transformation!

TCS Recent Layoff

The decision to restructure the hiring model follows TCS’s recent announcement of laying off around 12,000 employees, roughly 2% of its workforce. This was described as part of an alignment exercise to integrate automation into its business strategy.

Vendor Compensation

As per the report, under the current structure, staffing vendors typically receive between ₹30,000 and ₹1,00,000 for every successful contract placement, depending on the role and terms of the contract.

Tata Consultancy Services Share Price Performance 

As of 10:23 AM on August 6, 2025, Tata Consultancy Services share price was trading at ₹3,044.60, a 0.63% decrease.

Conclusion

TCS has modified its contract hiring process by bringing in a third-party service provider. While intended to streamline operations, the shift has led to restricted access for vendors and comes at a time when the company is undergoing broader workforce changes.

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