TCS to Lay Off 12000 Employees
In a major move that’s shaking up the IT world, Tata Consultancy Services (TCS), India’s largest software exporter, has announced plans to lay off around 12,000 employees roughly 2% of its global workforce. The job cuts are expected to roll out over the next three quarters of FY26, signalling a significant shift in how the tech giant is planning for the future.
TCS to Lay Off 12000 Employees
Why the Cuts?
According to TCS, this isn’t a reaction to the rise of AI not directly, at least. Instead, the company says it’s a strategic push to become a “future-ready organisation.” CEO K Krithivasan clarified that the layoffs are a result of skill mismatches, not AI replacing jobs. He emphasized that while many employees are being upskilled in AI, some senior professionals are struggling to adapt, especially when the new demands require entry-level tech skills.
TCS to Lay Off 12000 Employees
Who’s Affected?
The layoffs will hit middle and senior-level employees the hardest, especially those who’ve been on the bench (TCS’s term for unassigned staff) for extended periods. The cull will be global, not confined to any one geography or business unit.
The news comes after weeks of speculation about salary hikes, discontent over delays in lateral hiring, and concerns surrounding a new benching policy that has left many employees anxious.
TCS to Lay Off 12000 Employees
What TCS Is Offering
To ease the transition, TCS says it will provide:
- Notice period payments
- A severance package
- Extended insurance coverage
- Outplacement support and career counselling
CEO Krithivasan assured that the company will take a measured approach. Affected employees will first be considered for internal redeployment before any final decisions are made.
TCS to Lay Off 12000 Employees
The Bigger Picture
This move reflects a broader trend in the IT industry, where companies are realigning talent to meet new demands driven by AI, automation, and rapid tech evolution. For TCS, the goal is agility, streamlining teams, reskilling where possible, and letting go where necessary.
TCS to Lay Off 12000 Employees
While the layoffs are certainly tough news for thousands of professionals, TCS maintains that it’s part of a larger transformation aimed at staying competitive in an ever-changing digital world.
