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Tata Consultancy Services Ltd. (TCS) has made its largest-ever round of job cuts as rising tensions with the US and a rapid shift toward artificial intelligence reshape India\u2019s $280 billion IT services industry.<\/p>\n
India\u2019s biggest private-sector employer reduced its workforce by 19,755 employees in the quarter ended September 30, according to its earnings presentation.<\/p>\n
The figure includes both layoffs and voluntary exits. TCS\u2019s total employee count has now fallen below 600,000;\u00a0the first time since March 2022;\u00a0marking a 3.2% drop from the previous quarter. The company also set aside \u20b911.35 billion ($128 million) for severance costs.<\/p>\n
Chief Human Resources Officer Sudeep Kunnumal told analysts that TCS is halfway through its plan to cut 2% of its workforce by March next year, mainly at the mid and senior levels, due to a \u201cskill and capability mismatch.\u201d<\/p>\n
The company is realigning its workforce to adapt to emerging technologies like generative AI.<\/p>\n
Citi analysts described the move as a reflection of a weak business outlook. TCS\u2019s quarterly profit fell short of expectations, mainly due to one-time costs tied to job losses.<\/p>\n
The cuts come amid Donald Trump\u2019s H-1B visa restrictions and new US tariffs on India, which have created additional headwinds for tech exporters.<\/p>\n
While the direct impact of tariffs may be limited, reduced IT spending and geopolitical uncertainty are expected to weigh on companies like TCS.<\/p>\n
TCS has already localized much of its US workforce to reduce dependency on H-1B visas.<\/p>\n
\u201cOur business model will be able to adapt quickly to any changes in immigration policy,\u201d Kunnumal said, adding that the company will continue hiring people with \u201cfuture-relevant skills.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Tata Consultancy Services Ltd. (TCS) has made its largest-ever round of job cuts as rising tensions with the…\n","protected":false},"author":3,"featured_media":320600,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[21],"tags":[691,23121,738,39858,22693,158,67,132,68],"class_list":{"0":"post-320599","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-ai-jobs","10":"tag-artificial-intelligence","11":"tag-lay-offs","12":"tag-tcs","13":"tag-technology","14":"tag-united-states","15":"tag-unitedstates","16":"tag-us"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/115410957071303845","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/320599","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=320599"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/320599\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/320600"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=320599"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=320599"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=320599"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}