Tata Consultancy Services (TCS) has reported a decline in its employee headcount by 5,370 in the third quarter of fiscal year 2025 (Q3 FY25). This marks a reversal after two quarters of growth.
The company’s total workforce now stands at 607,354, down from 612,724 in the previous quarter. In contrast, TCS had added 5,726 employees in the previous quarter.
The current decline follows a difficult period for the company after a significant drop in its workforce during FY24, marking the first decline in 19 years. The company had added 22,600 employees in FY23 and a net 103,000 employees in FY22, highlighting a shift in its hiring strategy.
Despite the reduction, TCS continued to invest in employee development, promoting over 25,000 associates in Q3 alone, bringing the total promotions for the year to over 110,000. The company emphasised its ongoing efforts in upskilling employees and improving their well-being. Campus hiring plans are on track, with preparations underway to onboard more campus recruits in the coming year.
Attrition also increased slightly, rising to 13 per cent from the previous quarter’s 12.3 per cent. TCS maintains a diverse workforce, with 35.3 per cent women and employees from 152 different nationalities.
The company continues to make disciplined investments in talent and infrastructure to support long-term growth. The company’s ongoing focus on upskilling, AI/Gen AI innovations, and strategic partnerships positions it well to capture future opportunities.