India's largest IT company TCS (Tata Consultancy Services) has announced a major layoff in its global workforce. The company has said that it will lay off about 12,000 employees. After this announcement, the company's stocks fell by about 2 percent in the stock market on Monday.
Why are the layoffs happening?
TCS said that the company is molding itself as a "future-ready" organization. For this, it is focusing on technology, artificial intelligence (AI), market expansion and restructuring of employees. Under this process, those employees will be removed whose deployment does not seem possible in the future.
Greatest impact on mid and senior level employees?
The layoff will have the greatest impact on mid-level and senior level employees. The company said that about 2% of the workforce will be affected by this.
What was the impact on the shares?
After the news of layoffs came out, TCS shares fell 1.69% to close at Rs 3,081.20 on BSE. At the same time, the company's stocks also fell by 1.7% on NSE.
How many employees are there in TCS?
As of June 30, 2025, a total of 6,13,069 employees were working in TCS. Interestingly, in the June quarter of this year, the company had added about 5,000 employees.
What does the company say?
The company says that this step has been taken in view of the increasing competition in the global technology market and delay in decision making by customers. TCS will provide appropriate compensation, counseling and outplacement to the affected employees.