Capgemini Announces 2,400 Voluntary Departures

Capgemini, the French IT consulting and services giant, has announced plans to cut up to 2,400 jobs in its home market.

The move, representing roughly 6% of its French workforce, comes as the company navigates a challenging economic landscape and a sharp slowdown in key industrial sectors.

The “Voluntary” Approach to Downsizing by Capgemini

In a strategic move to manage the reduction while adhering to France’s rigorous labor laws, Capgemini stated that the job cuts would be carried out exclusively through voluntary departures.

The company has entered negotiations with labor unions to finalize the terms of the plan.

To mitigate the impact on its staff, Capgemini has committed to offering internal retraining programs.

This initiative aims to redeploy employees from stagnant divisions—such as those serving the manufacturing and automotive industries—to high-growth areas like Cloud computing, Data, and Artificial Intelligence (AI).

Economic Headwinds and Sector Slump

The primary catalyst for this restructuring is a visible “headwind” in European demand.

Specifically, the automotive and manufacturing sectors have significantly reduced their IT spending as they grapple with global supply chain shifts and broader economic cooling.

CEO Aiman Ezzat recently noted that while growth remains resilient in North America and the UK, the French market has been particularly exposed to the slowdown in manufacturing.

The company reported that revenue in France declined by nearly 5.8% in the recent quarter, necessitating a “staffing review” to protect operational margins.

Adapting to the AI Era

The job cuts also signal a broader shift within the IT services industry toward Agentic AI and automation.

Capgemini recently made headlines with major acquisitions (such as WNS) to position itself as a leader in AI-powered operations.

This transformation requires a different skill set, prompting the company to prioritize “digital-first” talent over traditional consulting roles.

Note: We are also on WhatsApp, LinkedIn, and YouTube to get the latest news updates. Subscribe to our Channels. WhatsApp– Click Here, YouTube – Click Here, and LinkedIn– Click Here.