Corporate Social Responsibility (CSR): TCS spends Rs. 600 Cr in Social development programs in FY 2019-20

Tata Group Company – Tata Consultancy Services (TCS), a global leader in technology and consultancy, has demonstrated its commitment to the socio-economic development of society. As per its recent annual report, Company has invested Rs. 600 crore on various sustainable development programmes, against its prescribed CSR expenditure (two per cent of the last three financial years).

Including overseas spend, the company’s total spending on Corporate Social Responsibility is Rs 755 Crore. Average net profit of the company for the last three financial years for the purpose of computation of CSR was Rs. 30,003 crore.

The CSR Expenditure

As per section 135 of the Companies Act, 2013, amount required to be spent by the Company during the year ended March 31, 2020 and 2019 is Rs. 600 crore and Rs 542 crore, respectively, computed at 2% of its average net profit for the immediately preceding three financial years, on CSR. The Company incurred an amount of Rs. 602 crore and Rs. 434 crore during the years ended March 31, 2020 and 2019, respectively, towards CSR expenditure for purposes other than construction / acquisition of any asset, the report said.

CSR committee

The Company has a CSR committee of directors comprising N Chandrasekaran, Chairman of the Committee, O P Bhatt and N Ganapathy Subramaniam.

Impact through Empowerment’

Report said that the guiding principle of TCS’ CSR programs is ‘Impact through Empowerment’. Empowerment results in enabling people to lead a better life. The Company’s focus areas are Education and Skill Development, Health and Wellness and Environmental Sustainability. In addition, the Company has been supporting the restoration of heritage sites as well as participating in relief operations during natural disasters.

Focused Programme

TCS’ vision is to empower communities by connecting people to opportunities in the digital economy. The company has focused on education, skilling, employability and village entrepreneurship, to help individuals and communities bridge the opportunity gap. In addition, it supports the health, wellness, water, sanitation and hygiene needs of communities.

Large Scale Programme

The company’s approach is to support large scale, sustainable, multi-year programs that build inclusive, equitable and sustainable pathways for youth, women and marginalized groups and which can have a strategic impact on the community. In India, these programs are aligned with the Government of India’s Affirmative Action Policy and the Tata Group’s Affirmative Action Program.

Employee volunteering

The Company’s participation focuses on operations where it can contribute meaningfully either through employee volunteering or by using core competency which develops solutions. In addition, for key engagements, it also partners with other Tata entities, NGOs, Government and clients.

TCS’ purpose-driven worldview is shared by its employees who contribute their time and expertise for social and environmental causes in their local communities. In FY 2020, TCSers contributed more than 780,000 volunteering hours.

Affirmative Action

The communities that the Company chooses are economically backward, and consist of marginalized groups (like women, children and aged) and differently abled. In addition, the Affirmative Action programs of the Company in India are directed towards SC/ST communities as defined by the Government of India.

151-year-old legacy of the Tata Group

TCS’ Corporate Social Responsibility (CSR) commitment stems from the 151-year-old legacy of the Tata Group and the founder’s vision that: In a free enterprise, the community is not just another stakeholder in business, but is in fact the very purpose of its existence.

840,000 beneficiaries

In FY 2020, the global community initiatives of TCS reached more than 840,000 beneficiaries.

TCS Foundation

TCS Foundation, a Section 8 company incorporated in 2015 with sole objective of carrying on Corporate Social Responsibility (CSR) activities of the Company, has held four meetings during the FY 2020.