TCS layoffs: IT employees’ union alleges 30,000 job cuts, stages protest; Company denies

New Delhi: The Union of IT & ITES Employees (UNITE) on Tuesday staged demonstrations across several Indian cities against Tata Consultancy Services (TCS), alleging that nearly 30,000 jobs are at risk.

The union, supported by the Centre of Indian Trade Unions (CITU), demanded government intervention and warned that the actual scale of TCS layoffs could be larger than disclosed. They claimed that TCS job cuts may have a serious impact on the lives of many employees.

Earlier, in a Facebook post, the union wrote, “Tata Consultancy Services is carrying out mass illegal retrenchments, targeting mid-career employees and destroying livelihoods for profit. This is not just an attack on jobs – it’s an attack on dignity, rights, and the future of IT workers.

TCS denies

In a statement to Business Line, TCS dismissed the allegations as “incorrect and misleading.” The company said the changes would affect no more than 2 per cent of its 600,000-strong global workforce.

TCS stated the restructuring was designed to create a “future-ready organisation,” with a sharper focus on cloud, AI, and digital transformation. The company added that affected employees would receive severance and transition support.

Earlier this month, Reuters reported that Tata Consultancy Services (TCS) will cut over 12,000 jobs, a move experts say could mark the beginning of a broader AI-driven disruption in India’s $283 billion IT services sector. Analysts estimate that as many as 500,000 roles may vanish over the next two to three years.

TCS has described the job cuts, around 2% of its workforce, or roughly 12,200 positions, as a result of skill mismatches rather than AI-led efficiency gains. However, experts view the decision, the largest-ever layoff by India’s top private employer, as a sign of deeper changes ahead in the labour-intensive industry.

CEO Krithivasan gets Rs 26.5 crore pay hike

Meanwhile, TCS CEO K. Krithivasan received a total annual compensation of Rs 26.5 crore in FY25, marking a 4.6% increase from the previous year, according to the company’s annual report.

His remuneration included a base salary of Rs 1.39 crore, Rs 2.12 crore in benefits and allowances, and a commission of Rs 23 crore. Netizens and IT employees expressed discontent over the pay being 329.8 times the median employee salary.