TCS job cut: The move is part of a broader plan to adapt to changing technology trends and streamline operations as the company aims to become a “future-ready” organisation.
Tata Consultancy Services (TCS), India’s largest software exporter, is planning to lay off around 12,000 employees, or about 2% of its global workforce, during the current financial year.
The move is part of a broader plan to adapt to changing technology trends and streamline operations as the company aims to become a “future-ready” organisation.
This comes shortly after TCS updated its HR policy, requiring employees to maintain at least 225 billable days a year and capping bench time at 35 days.
In a statement, TCS said, “TCS is on a journey to become a future-ready organisation. This includes strategic initiatives on multiple fronts including investing in new-tech areas, entering new markets, deploying AI at scale for our clients and ourselves, deepening our partnerships, creating next-gen infrastructure and realigning our workforce model.”
“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% of our global workforce, primarily in the middle and the senior grades, over the course of the year.”
The company stressed that this change is being handled with care to ensure that client service remains unaffected.
“We understand that this is a challenging time for our colleagues likely to be affected. We thank them for their service and we will be making all efforts to provide appropriate benefits, outplacement, counselling, and support as they transition to new opportunities,” the statement added.
TCS CEO and MD K Krithivasan said that the layoffs will not be done in a rush. He explained that the process will involve identifying impacted employees carefully and giving them a fair opportunity to be redeployed.
“It’s a process through which we identify the people. It will be coming through the year. We won’t do it in a hurry. We will be first talking to the people that could be impacted. We will provide them an opportunity. When we are not able to provide the opportunity, then we need to do the step we need. And, that is, we will do whatever is the benefit that we have to provide,” Krithivasan told Moneycontrol.
He added that the company will follow its HR policy to ensure that outgoing employees are treated with dignity and provided adequate support.
