Mumbai: Indian IT powerhouse Tata Consultancy Services (TCS) has announced plans to reduce its global workforce by 2%—a move that will affect more than 12,000 employees over the coming year.
The decision, disclosed in a statement to CNBC-TV18, is part of a broader strategic overhaul. TCS said the restructuring aims to align the company with evolving industry demands, including investment in emerging technologies, deeper market penetration, large-scale integration of artificial intelligence (AI), and a fundamental redesign of its workforce model and infrastructure.
“This transformation journey involves multiple facets, including reshaping roles and responsibilities across the organization,” the company stated. “As part of this journey, we will also be releasing associates from the organisation whose deployment may not be feasible. This will impact about 2% of our global workforce, primarily in the middle and the senior grades, over the course of the year.”
Industry insiders suggest the layoffs will primarily target mid-level and senior employees, as the company pivots towards a leaner and more tech-driven operational model.
TCS, which operates across 55 countries with 180 service delivery centers, employs over 613,000 consultants worldwide. It has consistently been ranked among the top global employers across six continents.
The Tata-owned firm reported consolidated revenues of $30 billion for the fiscal year ending March 31, 2025. The ongoing changes are seen as efforts to sustain competitiveness and drive innovation in an increasingly AI-centric IT services landscape.
