The IT Ministry is carefully monitoring Tata Consultancy Companies’ (TCS) determination to put off over 12,000 staff, information company PTI reported, citing sources. It’s in contact with the corporate and goals to know the underlying causes behind the transfer. Employment development stays a key authorities precedence, with initiatives just like the Employment Linked Incentive Scheme geared toward boosting job creation. A robust emphasis can also be being positioned on skilling and reskilling efforts.
India’s largest IT providers agency, TCS, plans to put off 12,261 staff—round 2% of its international workforce—this yr. The cuts will primarily affect center and senior-level roles. As of June 30, 2025, TCS had a complete workforce of 6,13,069, with a web addition of 5,000 staff within the April-June quarter.
The layoffs are half of a bigger strategic shift. “TCS is on a journey to grow to be a future-ready organisation. This contains strategic initiatives on a number of fronts, together with investing in new-tech areas, getting into new markets, deploying AI at scale for our purchasers and ourselves, deepening our partnerships, creating next-gen infrastructure, and realigning our workforce mannequin.
“In the direction of this, a lot of reskilling and redeployment initiatives have been underway. As a part of this journey, we will even be releasing associates from the organisation whose deployment is probably not possible. This may affect about 2 per cent of our international workforce, primarily within the center and the senior grades, over the course of the yr,” the corporate stated in a press release.
CEO Ok. Krithivasan clarified, “This isn’t due to AI giving some 20 % productiveness good points,” explaining the transfer stems from talent mismatches and never automation. “We are going to proceed to search for high-quality expertise,” he added, noting that TCS is upskilling over 550,000 staff in AI and rising applied sciences.
Layoffs shall be phased by means of FY26 and based mostly on abilities and capabilities. “It’s basically talent and functionality based mostly,” Krithivasan stated. As TCS shifts away from conventional waterfall venture fashions, the demand for layered management groups is reducing. “Once we did applications within the previous waterfall technique, we had a number of management groups. That’s altering,” he famous.
TCS has assured the method shall be compassionate, with severance, counselling, and help supplied to affected staff.
