Months after announcing a two per cent workforce reduction in the 2026 financial year, Tata Consultancy Services (TCS) has reiterated that employees impacted by its restructuring are being provided “care and support”.
The company said the move is part of a broader initiative to realign skills with future business needs. “Those affected by our recent initiative to realign skills have been provided care and support that is due to them in each of the individual circumstances,” TCS said in a statement, as several media reports stated.
Media reports earlier suggested that long-serving employees whose skills no longer matched requirements were being offered severance packages of up to two years’ salary. The company has not confirmed these details but maintains that compensation and assistance are being provided.
The restructuring comes at a time when India’s IT sector faces a slowdown. Global macroeconomic uncertainty, client cost-cutting, and delayed project decisions have weighed on growth. In July, CEO K Krithivasan admitted that client decision-making and project starts were taking longer than expected.
On Wednesday, 1 October, 2025, the Nascent Information Technology Employees Senate (NITES) alleged that TCS had forced around 2,500 employees in Pune to resign. The group has written to Maharashtra Chief Minister Devendra Fadnavis seeking intervention.
However, TCS strongly denied the claim, calling it “inaccurate and purposefully mischievous.” The company insisted that only a limited number of employees have been affected and that all were given due severance and support.
In July, TCS had announced plans to retrain and redeploy staff as it invests in new technologies and expands into emerging markets. Still, about 12,200 roles are set to be cut in the transition. The company said the process is being handled with care to avoid disruption to client services.
2 Comments
Tcs fired US citizen with discrimination including i was fired without any notification. Just one call and fired. No communication between CP, client partner and HR. I was lined up for the interview and fired.
After fired I have applied for few role since this were asked by recruiter and still they refused to take me on contract. I will appeal to US government for such a discrimination for US citizen. I am holding MBA and suitable for multiple role still TCS don’t hire me although they have terminated. No one respond email from HR from Chicago region too. 9 months of unemployment and kick out to bring low cost h1b candidates?