The headcount at TCS decreased by 19,755 employees between June and September 2025, which is 66% more than the previously announced plan. NITES, an organization for IT employees, alleged that the company is downplaying the large-scale layoffs. TCS states that affected employees are being provided with severance and assistance in finding new jobs.
Layoff: India's IT giant TCS recorded a reduction of 19,755 employees between June and September 2025, bringing the total headcount to 5,93,314. This figure is 66% higher than the company's previously announced layoff plan for 12,000 employees. NITES, an organization for employees, alleged that TCS is downplaying its layoffs and that most employees were exited by management. TCS stated that affected employees are being provided with severance packages, counseling, and assistance in finding new jobs.
Actual Status of Layoffs
TCS's new CHRO, Sudheep Kumunal, stated that some employees resigned voluntarily in this reduction, while approximately 6,000 employees were involuntarily exited. He informed that this process is not yet complete, and some more employees might be let go in the future.
In July 2025, TCS had announced its plan to release a total of 2% of its employees, approximately 12,000 people, during the year. Most of the affected employees are at mid and senior levels.
NITES' Major Allegation
NITES, an organization for IT employees, stated that TCS has attempted to underreport its layoff figures. According to NITES, data on the company's website indicates that approximately 8,000 employees whose job losses were not previously disclosed. The organization claims this is a deliberate attempt to mislead the public and regulatory bodies.
NITES also stated that in most of these layoff cases, employees were exited by management. The organization believes that since TCS's business is continuously growing, this move appears to prioritize profits while ignoring employee concerns.
TCS's Stand
CHRO Sudheep Kumunal stated that affected employees are being provided with good severance packages, counseling, and assistance in finding new jobs. He added that this step has been taken as part of preparing TCS for the future and its business strategy.
The company states that this is a structural change, and a fully transparent process is being followed with facilities provided to employees.
TCS Layoffs Impact Market and Employees
NITES, on the other hand, claims that this is not merely a process of structural change, but an injustice being done to long-term employees of the company. The organization asserts that employees have been suddenly terminated, and this has severely impacted their lives.
Analysts suggest that such a large number of layoffs in a major company like TCS could impact not only employees but also the company's reputation and market confidence.
Impact on the Industry
This update has created a stir across the IT sector. Investors and employee organizations are closely watching TCS's next moves. Experts believe that these layoffs could increase the likelihood of talented employees leaving the company.
Furthermore, it remains to be seen how TCS will balance its employee count as part of its future business strategy.
