TCS layoffs: IT ministry ‘closely monitoring’ 12,000 job cuts, claims report; IT union calls tech firm’s move illegal

The Ministry of Information Technology is monitoring developments following TCS’s announcement to cut back its workforce by over 12,000 employees, in accordance with PTI sources. Officials, cited by the information company, claimed the IT Ministry is carefully following the scenario and sustaining communication with the know-how firm. The ministry seeks to know the basis causes behind this improvement.The matter is critical as TCS, India’s premier IT providers firm, plans to cut back its workforce by 12,261 staff, representing two per cent of its world employees this 12 months, with center and senior administration positions bearing the vast majority of the affect.As of 30 June 2025, TCS employed 6,13,069 folks, having added 5,000 new employees through the April-June quarter.The firm introduced on Sunday that this restructuring aligns with their technique to turn out to be a “future-ready organisation”, emphasising technological investments, AI implementation, market development, and workforce reorganisation.“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,” it stated as quoted by PTI.“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 per cent of our global workforce, primarily in the middle and the senior grades, over the course of the year,” the assertion additional learn.The firm acknowledged it will present applicable advantages, outplacement providers, counselling, and assist to affected staff.Meanwhile, the Nascent Information Technology Employees Senate (NITES) has approached Union Minister for Labour and Employment Mansukh Mandaviya, urging the federal government to challenge a discover to TCS in search of a proof for the corporate’s current determination to terminate 12,000 jobs this 12 months.Read extra: TCS layoffs immediate NITES to jot down to Labour Minister; IT worker union needs keep on 12,000 job lossesThe IT staff’ union has described TCS’ newest move as unethical, inhumane, and outright illegal. “The law clearly states that no employee who has served for over a year can be retrenched unless the company provides one month’s notice or wages in lieu, pays statutory retrenchment compensation, and notifies the govt. TCS has not complied with any of these legal requirements,” NITES alleged, terming the motion a blatant and wilful violation of the regulation.NITES additionally highlighted the devastating affect of the layoffs, stating that hundreds of working professionals with households, EMIs, and monetary commitments would all of a sudden lose their livelihood. “The psychological, emotional, and financial trauma of this move is unimaginable,” Harpreet Singh Saluja, President of NITES, wrote within the letter.The union additional contended that TCS’ actions can’t be justified as restructuring. NITES additionally emphasised that TCS’s proposed move “will normalise job insecurity, erode employee rights, and severely damage trust in India’s employment ecosystem.”Additionally, NITES has referred to as for the framing of stricter safeguards for the IT sector, arguing that the business at present suffers from an absence of enforceable employment protections. “If this injustice is not addressed immediately, NITES, along with allied IT employee unions across India, will be forced to organise nationwide protests, legal campaigns, and public demonstrations to ensure that the voices of thousands of affected employees are heard,” the union acknowledged.Market watchers imagine that TCS’s determination to slash 12,000 jobs this 12 months is more likely to ship contemporary tremors by way of the tech business, which has been battling world macroeconomic woes and geopolitical uncertainty.