Tata Consultancy Services (TCS) reported its largest-ever quarterly job cuts, reducing its workforce by 19,755 employees in the quarter ended September 30, 2025.

TCS, India’s largest private-sector employer, saw its total staff drop below 600,000 for the first time since March 2022.

The company cited a mix of voluntary exits and layoffs, focusing on middle and senior positions due to skill mismatches.

It set aside 11.4 billion rupees (US$128 million) for severance costs.

The reduction is part of a plan to cut 2% of its workforce by March 2026.

Analysts at Citi said the headcount drop signals a weak business outlook, with TCS’s profit missing estimates largely due to these one-time costs.

The company also faces challenges from reduced IT spending and new US immigration and trade policies.

🔗 Source: Bloomberg

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