TCS Layoffs: Labour Ministry Summons IT Firm Over Mass Job Cuts, Hiring Delays | Economy News
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The labour ministry has summoned TCS over two major issues — the recent layoffs of 2% workforce or 12,000 employees, and the pending hiring of 600 professionals, says a report.
TCS Layoffs.
TCS Layoffs 2025: The Labour Ministry has summoned Tata Consultancy Services (TCS) on Friday, August 1, over the company’s recent layoffs and delays in onboarding new hires, CNBC Awaaz has reported. The move follows a complaint filed by the Nascent Information Technology Employees Senate (NITES) with the office of the Chief Labour Commissioner (CLC).
“The labour ministry has summoned TCS over two major issues — the recent layoffs of 2% workforce or 12,000 employees, and the pending onboarding of 600 professionals. The ministry has summoned the company after the IT workers’ union NITES had filed a complaint in the chief labour commissioner’s office,” CNBC Awaaz has reported.
Taking cognisance of the NITES’ complaint, the chief labour commissioner has summoned TCS on August 1, Friday, to get the detailed status of these two issues, according to the report.
The Nascent Information Technology Employees Senate (NITES) on Monday, July 28, slammed the layoffs at TCS, calling it “inhumane”, “unethical” and “outright illegal”.
“Most of those affected are mid and senior-level professionals who have served the company loyally for 10 to 20 years. The email was callously sent on a Sunday evening, without prior notice or any formal communication process in place. This mass layoff is not only unethical and inhumane; it is outright illegal. TCS has planned to terminate thousands of employees without giving them due notice or any prior intimation to the government, all of which are mandatory under existing Indian labour laws,” Harpreet Singh Saluja, president of NITES, said in the complaint.
“The IT sector in India employs lakhs of professionals and has been a pillar of our economy. If a company of TCS’s scale is allowed to carry out mass layoffs without following due process and without consequences, it will set a dangerous precedent for other companies. It will normalise job insecurity, erode employee rights, and severely damage trust in India’s employment ecosystem,” he added.
On Sunday, July 27, TCS management reportedly circulated an internal email confirming the layoff of nearly 12,000 permanent employees. The majority of those impacted are said to be mid- and senior-level professionals.
On Monday, the NITES appealed to Labour Minister Mansukh Mandaviya to intervene, demanding an immediate halt to all terminations and the reinstatement of affected employees.
TCS Layoffs
TCS, India’s largest IT services company, is set to lay off about 2 per cent, or 12,261 employees, of its global workforce this year, with the majority of those impacted belonging to middle and senior grades.
As of June 30, 2025, the TCS workforce stood at 6,13,069. It increased its workforce by 5,000 in the recently concluded June quarter.
The move is part of the company’s broader strategy to become a “future-ready organisation”, focusing on investments in technology, AI deployment, market expansion, and workforce realignment, TCS said in a statement.
“Towards this, a number of reskilling and redeployment initiatives have been underway. As part of this journey, we will also be releasing associates from the organisation whose deployment may not be feasible. This will impact about 2 per cent of our global workforce, primarily in the middle and the senior grades, over the course of the year,” it said.
TCS will provide appropriate benefits, outplacement, counselling, and support to the impacted employees, it added The move comes at a time when India’s top IT services companies have delivered single-digit revenue growth in Q1FY26, capping off a somewhat sobering June quarter as macroeconomic instability and geopolitical tensions weighed on global tech demand and delayed client decision-making.
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h…Read More
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h… Read More
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