India largest IT services company, Tata Consultancy Services (TCS), is set to cut nearly 2% of its workforce impacting approximately 12,000 jobs. This move marks one of the most significant layoffs in the company history. Signals a larger shift in how major IT firms are adapting to changing market conditions.
Why the Cuts?
The company cited several reasons behind the decision, including automation, project realignment, and evolving client demands. With many global clients tightening tech budgets and adopting AI-driven tools, traditional staffing-heavy IT models are being reshaped. TCS is focusing more on optimizing costs and deploying fewer people per project while maintaining delivery quality through digital transformation.
This decision also reflects the broader global slowdown in tech hiring. With several major firms cutting roles due to economic pressures and shifting priorities.
Impact and Internal Reactions
The layoff will affect both freshers and experienced professionals across departments. While TCS has not publicly shared a department-wise breakdown. Insiders say mid-level roles in support functions and legacy projects are expected to take the biggest hit.
Employees have expressed concern over the lack of clarity and fear the move could open the door for more aggressive cuts in the near future.
Company Statement
TCS stated it is investing heavily in upskilling and reskilling programs, aiming to redeploy as many employees as possible into future-ready roles. However, that’s little consolation for thousands now facing job uncertainty.
This mass layoff from a traditionally stable company like TCS could be a wake-up call for the Indian IT workforce. The industry is rapidly moving towards AI integration, automation, and leaner delivery models. For many, the key to job security will now lie in adaptability and continuous skill upgrades.
