Indian IT companies firm Tata Consultancy Providers (TCS) has introduced its intention to scale back its workforce by 2% in response to AI-driven disruptions and macroeconomic uncertainties.
This choice will result in roughly 12,200 job cuts, Reuters reported, citing an organization assertion. The reductions will primarily have an effect on center and senior administration staff.
“This transition is being deliberate with due care to make sure there isn’t a affect on service supply to our shoppers,” TCS stated.
As of June 2025, TCS had greater than 610,000 staff.
The announcement got here because the Indian IT sector, valued at $283bn, is experiencing related challenges. Purchasers are reportedly delaying non-essential expertise spending as a consequence of weak demand, persistent inflation, and uncertainties surrounding US commerce insurance policies.
Earlier in July 2025, TCS chief government Okay Krithivasan additionally famous that shopper decision-making and venture initiations are dealing with delays.
The restructuring effort is geared toward reworking the corporate right into a future-ready organisation.
“This contains strategic initiatives on a number of fronts, and whereas these adjustments are needed for our development and evolution, we perceive the affect on our colleagues. We thank them for his or her service and are dedicated to supporting them by way of this transition,” The Instances of India quoted Krithivasan as saying in an e-mail to staff.
The corporate is at present specializing in deploying AI and different applied sciences whereas exploring new markets and managing an unpredictable demand panorama.
In June 2025, TCS introduced the institution of three new amenities in Europe to bolster its presence within the software-defined automobiles sector. This contains two automotive supply centres in Germany, situated in Munich and Villingen-Schwenningen, and an engineering facility in Romania.
“TCS to chop greater than 12,000 jobs amid AI-led disruptions” was initially created and printed by Verdict, a GlobalData owned model.
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