TCS Layoffs 2025
TCS Layoffs 2025: Tata Consultancy Services (TCS) is set to lay off 12,000 employees in 2025, and CEO K. Krithivasan attributes the decision to increasing automation through Artificial Intelligence. The move reflects a broader trend in the IT industry, where AI is replacing repetitive human tasks and reshaping workforce structures.
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AI at the Core of TCS Layoffs in 2025
India’s largest IT firm, Tata Consultancy Services (TCS), has confirmed plans to lay off nearly 12,000 employees this year. Speaking to the media, CEO K. Krithivasan explained that Artificial Intelligence (AI) and automation are major drivers behind the job cuts. While TCS continues to grow in digital and AI-based solutions, the demand for traditional roles is diminishing rapidly.
The announcement comes at a time when many global IT giants are restructuring operations to adapt to technological disruptions. Although layoffs are never easy, TCS says the shift is crucial to remain competitive and aligned with future demand.
CEO K. Krithivasan Explains the Move
In a recent interview, Krithivasan said, “AI is reducing the need for certain types of jobs, especially those based on manual or repetitive work.” He stressed that while the company is cutting certain roles, it is also hiring in areas such as cloud computing, machine learning, and cybersecurity.
He added that TCS is not downsizing arbitrarily but transitioning toward a more technology-first model. “This is a rebalancing of skills, not just a reduction of workforce,” he stated.
Which Roles Are Affected?
The layoffs are expected to impact employees in legacy IT services, manual testing, and business process outsourcing (BPO). These roles, often involving repetitive tasks, are being replaced by AI tools that can perform faster and more efficiently. According to insiders, mid-level employees with over 5–8 years of experience are likely to be most affected.
However, the company also clarified that it is actively working on upskilling and reskilling programs for internal staff. Employees willing to adapt to emerging technologies may still find opportunities within the firm.
TCS Plans for Transition and Support
TCS has announced a support framework for the affected employees, including career counseling, severance packages, and placement assistance. Additionally, the company is increasing investments in AI R&D and launching internal platforms for skill development.
The firm’s broader vision is to build a lean, agile, and AI-augmented workforce that can cater to future digital needs. According to Krithivasan, AI is not just eliminating jobs but creating new ones that demand different skill sets.
Read More..- Microsoft Layoffs 2025: Satya Nadella Calls for ‘Unlearning’ to Succeed
Industry-Wide Impact and Outlook
TCS is not alone. Several IT firms across the globe are re-aligning workforce strategies around AI. With companies under pressure to deliver faster, more efficient services, automation is becoming the industry standard.
While AI promises productivity and profitability, it also poses challenges in employment and job security. The industry must now find a balance between innovation and inclusivity to avoid large-scale disruptions.
