Business

TCS Announces Major Workforce Reduction: 12,000 Employees to Be Laid Off Amid Global Economic Shifts

TCS Workforce Reduction Plan

India's premier IT services exporter, Tata Consultancy Services (TCS), has unveiled plans to lay off approximately 12,000 employees, constituting 2% of its global workforce. This strategic move primarily targets middle to senior management levels, reflecting the company's adaptation to global economic uncertainties and the rapid evolution of artificial intelligence technologies.

TCS layoffs

Support for Impacted Employees: TCS has committed to providing comprehensive support, including notice period compensation, severance benefits, extended insurance coverage, and career transition assistance, to those affected by the layoffs.

Global Tech Layoffs: A Growing Trend

The tech industry worldwide is witnessing a surge in layoffs, with over 80,000 professionals losing their jobs in 2025 alone. Microsoft, among others, has significantly reduced its workforce, highlighting the sector's volatile nature amidst technological advancements and economic pressures.

Looking Ahead

TCS's decision underscores the challenges and opportunities within the IT sector, as companies navigate the complexities of AI integration and global economic dynamics. The firm reassures that service delivery to clients will remain unaffected during this transition period.