India's largest IT services firm Tata Consultancy Services, is planning to reduce its workforce by 2% in the fiscal year 2026 (April 2025 to March 2026), primarily affecting middle and senior management, the company said on Sunday.
The move will eliminate roughly 12,200 jobs from the company's workforce across countries as TCS deploys AI and other technologies while entering new markets and contending with an uncertain demand outlook.
TCS CEO K Krithivasan described the move as "one of the toughest decisions" he had to make.
"We have been calling out new technologies, particularly AI and operating model changes. The ways of working are changing. We need to be future-ready and agile. We have been deploying AI at scale and evaluating skills we will be requiring for the future. We have invested a lot in associates in terms of how we can provide them with career growth and deployment opportunities," Krithivasan was quoted as saying by Moneycontrol.
"Still, we find that there are roles where redeployment has not been effective. This will impact roughly 2 per cent of our global workforce, primarily at middle and senior levels. It has not been an easy decision and one of the toughest decisions I have had to take as CEO,” he said.
TCS currently has an employee headcount of 6,13,000.