India's top 5 IT companies slashed 7,000 jobs in FY26
What's the story
India's top five IT companies: Tata Consultancy Services (TCS), Infosys, Wipro, HCLTech, and Tech Mahindra, cut nearly 7,000 jobs in the financial year 2026 (FY26). The total employee count of these companies fell by 6,981 during the year. This is a stark contrast to FY25 when they had added a net of 12,718 employees.
Job reductions
TCS alone accounted for most job cuts
Notably, TCS was responsible for the biggest job cuts during FY26. Meanwhile, Tech Mahindra also reduced its workforce by 1,108. On the other hand, Infosys and HCLTech continued to hire albeit cautiously. This shift in hiring patterns reflects a move from scale-led expansion to efficiency-focused operations driven by artificial intelligence (AI) and uncertain demand.
Workforce growth
Overall employment in IT sector grew marginally
Despite the job cuts at top firms, the overall employment in India's IT sector grew marginally. This was mainly due to global capability centers (GCCs) which continued to expand their operations in India for the third consecutive year. However, hiring trends remain subdued with active tech job openings falling by 8% from March to April 2026.
Hiring outlook
Freshers hiring targets reduced for FY27
Management commentary across these firms has been cautious when discussing hiring plans for FY27. TCS has reduced its fresher hiring target to 25,000 from previous years' targets of up to 42,000. Infosys and HCLTech have also announced similar or stable fresher hiring targets for FY27. Tech Mahindra and Wipro are yet to finalize their numbers but indicated a more cautious approach moving forward.