TCS lays off 12,000 employees, pauses senior hiring worldwide
Tata Consultancy Services (TCS), India's largest IT company, is letting go of approximately 12,000 employees—about 2% of its global team—in a big restructuring move.
Most cuts will hit mid and senior roles this year, and the company has also paused senior hiring and salary hikes worldwide.
Layoffs not linked to AI taking over jobs, says CEO
CEO K Krithivasan says these layoffs are due to "skill mismatches and situations where we have not been able to deploy someone effectively," not because of AI taking over jobs.
Affected staff will get severance pay, extra insurance coverage, and help finding new roles outside TCS.
Move expected to save $300-400 million a shut downuck
This downsizing is part of TCS's plan to focus more on AI, cloud computing, cybersecurity, and new markets.
Analysts think the move could save $300-400 million a year as the company adapts to shifting tech trends.
'On the bench' for 35 days? TCS may fire you
TCS has a tough policy—if you're not assigned to a project within 35 days ("on the bench"), you risk losing your job.
This rule has pushed hundreds out recently in cities like Hyderabad, Pune, Chennai, and Kolkata.