TCS Confirms 2% Workforce Cut Targeting Mid- and Senior-Level Staff
The recent TCS Layoffs 2025 has created a heated up environment in the industry specially the IT industry. TCS have planned to reduce its global workforce by 2% affecting the jobs of around 12,000 to 12,260 employees during financial year 2025–26.
This is the largest workforce reduction by TCS ever. Previously making headlines only in 2012 when 2,500 employees were let go due to performance issues. Not only TCS but many IT farms are laying off employees after the emerging effect of AI.
TCS Layoffs Signal Strategic Pivot Toward Automation
TCS’s decision for this layoff is the first big layoff, affecting the mid- to senior‑level staff, and driven by strategic realignment toward AI. The company is reshaping its workforce to better fit future business requirements.
The step is taken to become future ready driven by strategic initiatives including AI deployment entry into the new markets. CEO K. Krithivasan clarified in an interview that the layoffs are being driven by skill mismatches and deployment feasibility.
What is TCS doing for the affected employees
- Providing notice pay and severance packages.
- Offering continued insurance coverage.
- Facilitating outplacement support, counselling and career transition services.
- Ensuring that the whole process is gradual with due care.
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