‘Extremely exaggerated’: TCS dismisses rumours of over 50,000 layoffs; says 1% released

TCS layoffs: Tata Consultancy Services, India’s largest IT services exporter, has released astir 1% of its workforce, its Chief HR Officer Sudeep Kunnumal said connected Thursday. Kunnumal said that astir 6,000 radical person been laid off, dismissing reports of higher numbers arsenic 'extremely exaggerated’.

Kunnumal clarified that the organisation is "not chasing a number".When questioned astir imaginable layoffs rumoured to beryllium betwixt 50,000-80,000, Kunnumal firmly stated that "a batch of these numbers are not factual, are highly exaggerated" and "should beryllium disregarded".Meanwhile, IT workers' national NITES issued a connection highlighting that TCS reported a workforce of 593,314 employees successful Q2 FY26, down from 613,069 employees successful Q1 FY26."This represents a nett simplification of 19,755 employees successful conscionable 1 quarter," the connection noted according to a PTI report.On Thursday, Kunnumal explained, "As we talk today, we are adjacent to 1 per cent of people, that we person released successful mid and elder level, whom we could not redeploy successful the close role."When asked to corroborate if 1 per cent equated to astir 6,000 individuals, Kunnumal responded, "yes, close astatine the mid and elder level segment".

TCS Layoffs & Severance Packages

TCS, which is Tata Group's astir profitable entity, had successful July announced a workforce simplification of 12,261 positions, constituting astir 2% of its staff, amid artificial quality disruptions and uncertain marketplace conditions affecting concern demand.Earlier this week, a TOI study said that TCS has implemented a structured severance programme for the astir 12,000 unit members, chiefly impacting mid and elder enactment positions. The severance packages use to assorted worker categories, including those unassigned to projects, individuals lacking updated skills, and semipermanent employees with much than 15 years of service.Employees whose competencies became obsolete oregon who failed to get caller skills received 3 months' announcement play compensation and further severance ranging from six months to 1 year's salary. The compensation magnitude was determined based connected magnitude of service, with six months' wage arsenic the basal offering, the study said.The organisation has consistently adjusted its workforce operation to code evolving concern requirements. During the 2014-15 fiscal year, the institution reduced its workforce by implicit 3,000 positions, representing astir 1% of its full staff.The layoffs predominantly impact elder and middle-management positions. It represents a important organisational change: the integration of AI technologies whilst releasing unit unsuitable for redeployment wrong the company.