TCS Job Cuts will Continue in 2026: Workforce Droped by 30,000

Tata Consultancy Services (TCS), India’s biggest IT company, has made it clear that its employee reductions will continue in 2026. This is all part of a big company restructuring, which began in 2025.

The goal isn’t some strict number target, but matching the workforce to new business needs and tech changes like AI tools.

After sharing its Q3 FY26 results – that’s October to December 2025 – TCS said trimming the workforce is key to this restructuring. Chief HR officer Sudeep Kunnumal told analysts about 1,800 people left the company against their will in that quarter.

But the full picture is bigger. The company’s factsheet shows a drop of 11,151 employees overall, bringing total staff to 582,163 by year-end, down from 593,314 three months earlier.

This is the second quarter in a row of falling numbers. Looking back six months, TCS has lost nearly 30,000 workers, with 19,755 gone in the September quarter alone. A lot of this comes from normal attrition, people leaving on their own – over 22,000 in two quarters – plus slower hiring to replace them.

Sure, there’s talk about AI tools like Claude and Cursor taking jobs, but experts like Oxford Economics say most tech layoffs are really about cutting costs and better performance checks, not just robots replacing people.

On top of that, TCS is cracking down on work-from-home. Some employees face delayed appraisals or even skipped ones if they don’t show up to the office enough. Internal notes warn that ignoring these rules could hurt their 2026 ratings.

All this has left employees feeling unsure. With ongoing exits, tougher office rules, and pay reviews on hold, worry is spreading. TCS says every exit has a real reason and follows fair steps, like trying to move people to other roles first.

TCS is hiring freshers with AI skills and top talent, but the overall trend is down as they reshape for the future.

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