Tata Consultancy Services (TCS), India’s largest IT services firm, has issued a clarification regarding recent reports on mass layoffs. The company confirmed that the actual layoffs amount to about 12,000 employees, or 2% of its global workforce, dismissing viral claims that suggested job cuts as high as 80,000.
What TCS Said
In its statement, TCS called the higher figures “incorrect and misleading,” stressing that the restructuring is part of its workforce realignment in response to artificial intelligence (AI) adoption and changing business priorities.
The company emphasized that the process is focused and limited, contrary to social media speculation that packages ranged from 18 months’ salary to no compensation. TCS categorically denied such claims, reiterating that only a small fraction of employees were impacted.
The Rumours
The confusion stemmed from viral posts alleging that 80,000 employees were let go, sparking panic across the IT community. Employee unions such as UNITE also claimed that the number of layoffs could be much higher than officially stated. However, TCS maintained that only around 12,000 employees have been affected.
Bigger Industry Trend
The TCS layoffs come against the backdrop of global tech majors streamlining operations:
- Accenture cut over 11,000 jobs as part of its business realignment.
- Microsoft laid off nearly 9,000 employees, citing restructuring to focus more on AI and automation.
Experts note that such restructuring is part of a larger trend in the technology industry, as companies worldwide adopt automation and AI-driven workflows, often leading to job losses in traditional roles while creating demand in emerging domains.
Originally published on 24×7-news.com.
