TCS’s decision to reward and retain talent has come at a time when the company is going to lay off more than 12,000 employees from its total workforce.
India’s largest IT company Tata Consultancy Services (TCS) made a big announcement for its employees on Wednesday. TCS informed the employees that the company will increase the salary of about 80 percent of the employees from junior level to mid level. Milind Lakkad, Chief Human Resource Officer (CHRO) of Tata Group IT company TCS and CHRO nominee K. Sudeep said in an email sent to the employees on Wednesday that the salary hike will be effective from September 1, 2025. This email from TCS has brought a wave of happiness among 80 percent of the employees of the company, while on the other hand 20 percent of the employees are disappointed.
The company will lay off more than 12,000 employees
TCS has taken this decision to reward and retain talent at a time when the company is going to lay off more than 12,000 employees from its total workforce. TCS had recently announced the layoff of about 2 percent of its global workforce i.e. about 12,261 employees, most of whom will be mid-level and senior level employees. TCS had said in a statement regarding the layoffs that this step is part of the company’s comprehensive strategy to become a ‘future-ready organization’, which focuses on investments in technology, AI deployment, market expansion and workforce restructuring.
TCS’s current employee count is more than 6 lakh
As of the end of June 2025, TCS had a workforce of 6,13,069. In the April-June quarter of the current financial year, the company had hired 5000 employees. The announcement of layoffs by TCS is in the knowledge of both the Central Government and the Karnataka Government. The Karnataka State IT/ITES Employees Union (KITU) had strongly objected to the mass layoffs and filed a complaint against TCS before Additional Labour Commissioner G. Manjunath. In a statement, the union said it has sought legal action against the management for violating the provisions of the Industrial Disputes Act, 1947.
