Tata Consultancy Services (TCS), India’s largest IT services company, has announced it will reduce its global workforce by 2%—impacting approximately 12,200 jobs—during the financial year 2025–26. The decision, primarily affecting middle and senior management roles, reflects the company’s accelerating transition toward AI-powered operations and new market expansions.
TCS CEO K. Krithivasan called the move “one of the toughest decisions” in the company’s history. “Artificial Intelligence and next-gen technologies are reshaping our operating model,” he said. “To remain future-ready, we must align our resources accordingly. While we’re reassigning many roles internally, some positions can no longer be retained under the new structure.”
With a current workforce of over 613,000, TCS emphasized that the restructuring is aimed at long-term sustainability and competitiveness in a rapidly evolving tech environment. The job cuts come amid a broader trend in the industry, as companies worldwide recalibrate their operations in response to AI disruption and digital transformation.
This announcement marks a significant moment in India’s IT sector, signaling that even its biggest players are not immune to the sweeping changes brought on by emerging technologies.
