The IT Ministry is carefully monitoring Tata Consultancy Providers’ (TCS) choice 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 progress stays a key authorities precedence, with initiatives just like the Employment Linked Incentive Scheme geared toward boosting job creation. A powerful emphasis can be being positioned on skilling and reskilling efforts.
India’s largest IT companies agency, TCS, plans to put off 12,261 staff—round 2% of its world workforce—this yr. The cuts will primarily influence 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 turn out to be a future-ready organisation. This consists of strategic initiatives on a number of fronts, together with investing in new-tech areas, coming 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, numerous reskilling and redeployment initiatives have been underway. As a part of this journey, we may even be releasing associates from the organisation whose deployment is probably not possible. It will influence about 2 per cent of our world workforce, primarily within the center and the senior grades, over the course of the yr,” the corporate stated in an announcement.
CEO Okay. Krithivasan clarified, “This isn’t due to AI giving some 20 % productiveness good points,” explaining the transfer stems from ability 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 FY26 and primarily based on abilities and capabilities. “It’s primarily ability and functionality primarily based,” Krithivasan stated. As TCS shifts away from conventional waterfall undertaking fashions, the demand for layered management groups is lowering. “Once we did applications within the outdated waterfall technique, we had a number of management groups.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 provided to affected staff.
