AI Takes Thousands of Jobs! TCS to Lay Off Over 12,000 Employees This Year

As of June 30, 2025, TCS had a workforce of 6,13,069 employees. In the recently concluded April-June quarter, the company increased its employee count by 5,000.

TCS stated that this move is part of its broader strategy to become a future-ready organization. This includes investing in new technology areas, entering new markets, leveraging AI on a large scale for clients and itself, strengthening partnerships, building next-generation infrastructure, and restructuring its workforce model.

The company said, "As part of this journey, we will also part ways with associates who cannot be redeployed. This will impact approximately two percent of our global workforce, primarily mid and senior-level executives."

According to reports, the Tata Group company is retraining and redeploying employees to enter new markets, invest in new technologies, and implement AI, but this process will result in approximately 12,200 job cuts.

In an interview, TCS CEO K. Krithivasan said, "We are continuously working on new technologies, especially AI, and changes in operating models. We need to be ready for the future. We have invested in our associates' career growth and redeployment, but some roles could not be accommodated. This was not an easy decision, but it is necessary."

The layoffs will primarily affect mid and senior-level employees, and the process will continue through the financial year 2026 (April 2025 to March 2026).