CALCULATE YOUR SIP RETURNS

TCS’s New 35-Day Bench Policy: What Is Benching in the IT Industry?

Written by: Neha DubeyUpdated on: 23 Jun 2025, 8:32 pm IST
Tata Consultancy Services (TCS) has introduced a new policy limiting bench time. Here’s what “benching” means and how this shift could impact compensation.
TCS’s New 35-Day Bench Policy: What Is Benching in the IT Industry?
ShareShare on 1Share on 2Share on 3Share on 4Share on 5

TCS’s latest policy update of limiting bench time to just 35 business days a year has sparked widespread discussion across the IT industry. The move has not only raised concerns about employee deployment and job continuity, but also made many wonder: what exactly does "benching" mean in this context? Let’s take a closer look at the policy and its wider implications.

What Is Benching in the IT Sector?

In the IT services industry, benching refers to the period when an employee is not assigned to any client project but remains on the company’s payroll. While "on the bench," employees may wait for a new assignment, undertake internal tasks, or upskill.

Benching is common in project-based work environments like IT services, where demand fluctuates based on client contracts. It allows companies to retain skilled workers during lean periods. However, extended bench periods can raise concerns around productivity, payroll costs, and employee morale.

TCS’s New Bench Policy: 35-Day Limit Annually

On June 12, 2025, Tata Consultancy Services (TCS) implemented a new associate deployment policy that requires employees to be billed for at least 225 business days in a year, effectively limiting bench time to just 35 days annually.

The updated rule is part of TCS’s broader push for higher workforce utilisation and ties directly into employee performance metrics. If employees remain unallocated beyond the 35-day threshold, it may negatively affect:

  • Compensation adjustments
  • Career progression opportunities
  • Overseas deployment chances
  • Job continuity

Responsibility Shifts to Employees During Bench Period

According to a company memo reviewed by the media, employees must now proactively seek project allocation during bench time. The burden is no longer entirely on the Resource Management Group (RMG). Associates must engage with their unit or regional RMGs and respond to allocation opportunities.

If an employee is not on any project, they are expected to:

  • Communicate with deployment teams
  • Actively explore available project roles
  • Upskill in line with market/project requirements

Upskilling Is No Longer Optional

TCS is emphasising mandatory upskilling for all unallocated employees. Associates on the bench are required to dedicate 4 to 6 hours per day to learning, using online platforms.

Participation in in-person training sessions, completion of certifications, and tracking progress on learning dashboards are now monitored more rigorously.

Why the Change?

TCS’s move reflects a larger trend in IT services to improve productivity and cost-efficiency post-pandemic. As demand becomes more project-specific and margins tighten, benching is increasingly seen as a cost liability rather than a talent buffer.

Read More:TCS Joins Hands with Council of Europe Development Bank for Automation.

Conclusion

TCS’s new 35-day bench rule signals a major shift in how Indian IT firms manage talent deployment. For professionals in the IT services space, the era of passive bench time is likely over learning agility and self-driven allocation are now critical to career stability.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in securities market are subject to market risks, read all the related documents carefully before investing.

Published on: Jun 23, 2025, 3:00 PM IST

Neha Dubey

Neha Dubey is a Content Analyst with 3 years of experience in financial journalism, having written for a leading newswire agency and multiple newspapers. At Angel One, she creates daily content on finance and the economy. Neha holds a degree in Economics and a Master’s in Journalism.

Know More

We're Live on WhatsApp! Join our channel for market insights & updates

Open Free Demat Account!

Join our 3 Cr+ happy customers

+91
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy ₹0 Account Opening Charges

Get the link to download the App

Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Join our 3 Cr+ happy customers