Tata Consultancy Services (TCS), India’s biggest IT Company, has announced that it will cut about 2% of its global workforce, which means around 12,000 to 12,261 people will lose their jobs. This is the biggest layoff in the company’s history.

Why is TCS doing this?

TCS says new technologies like Artificial Intelligence (AI) and automation are changing how work is done. Because of this, some jobs—especially mid- and senior-level roles—are no longer needed.

Also, it has been said that many clients are not spending as much on IT services right now. There is economic uncertainty around the world, and some projects are getting delayed, which affects the need for workers.

TCS argued that the layoffs are primarily due to mismatches between current workforce skills and the company’s future needs, as opposed to simply needing fewer people

To be noted, as of June 2025, TCS had about 613,000 employees, so the layoffs affected about 12,200 people.