TCS Targets AI Skills for 80% of Future Workforce

Tata Consultancy Services is shifting its hiring strategy to ensure up to 80% of its future workforce possesses digital and artificial intelligence skills. In the second quarter, the company added 4,500 employees, with 25% to 30% possessing pure AI skills and 80% categorized as new age talent.

AI-led work currently accounts for 10% of the company's overall revenue. Chief Executive K Krithivasan stated that while the company is conservative in classifying deals as AI-specific, AI elements are present in nearly all current work. He expects the increasing volume of AI deals to expand profit margins, which currently remain below aspirational levels.

To support this transition, the company plans to invest in niche talent, partnerships, and mergers and acquisitions. Recent contracts with Porsche and Best Buy involved absorbing client staff to help those organizations transform into AI first entities.