Categories: India News

TCS Layoffs 2026: Tata Consultancy Services Cuts 23,000 Jobs Amid AI Automation, Bench Policy Concerns and IT Sector Hiring Slowdown

Tata Consultancy Services had a drop in the number of employees. They lost over 23,000 employees in the year 26. This happened because of automation with artificial intelligence and some changes in the company. People are now talking about how safe their jobsre what is happening with hiring in the IT sector in India.

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Published by Ishika Rawat
Published: May 18, 2026 18:08:46 IST

Tata Consultancy Services is in the news again because of reports about reducing the number of employees, layoffs and concerns about the companys bench policy. This has caused anxiety among people working in the IT sector in India. The number of employees at TCS went down by over 23,000 during the financial year. At the time TCS is still growing its business that uses artificial intelligence and signing big deals with companies from around the world.

TCS has employees now.

The company had around 584,000 employees at the end of the financial year. This is 23,460 fewer employees than the company had the previous year.

The people in charge at TCS say that the reason for this reduction is not layoffs. They say it is because of things like people leaving the company changing the way the company is organized and needing different skills. TCS also says it is still committed to hiring employees and training them for the future.

TCS is changing because of intelligence.

The company is investing a lot in intelligence, automation and cloud services. TCS has recently announced partnerships with companies like OpenAI, AMD, NVIDIA and Cisco. The company made over $2.3 billion from intelligence-related work in the last financial year. This shows that TCS is focusing more on projects that use intelligence for its clients from around the world.

Many experts think that IT companies are changing the way they work because they are using intelligence and automation more. This means that companies need teams and are using machines to do some of the work.

TCSs bench policy is causing problems for employees.

One of the things that is worrying employees is TCSs bench policy. This policy says how long an employee can be without a project to work on. Some reports say that if an employee is on the bench for long it can affect their performance review chances of getting a new job within the company and job security.

There are discussions on social media about employees being forced to resign and problems with getting assigned to projects. However TCS has not officially confirmed these claims.

TCS is still hiring employees.

Even though the company has employees now TCS says it is still hiring aggressively in areas like artificial intelligence, cloud computing and cybersecurity. The company plans to hire around 40,000 employees. The people in charge at TCS say that the company is focusing on training its employees in skills rather than replacing them.

The IT sector in India is changing.

What is happening at TCS is part of a change in the global technology and IT services industry. Many companies like Amazon, Meta, IBM, Cisco and Salesforce have also announced changes and layoffs because of automation and artificial intelligence.

Experts think that the IT sector in India is going through a transition. They believe that the need for coding and maintenance jobs may go down but the need for skills in artificial intelligence, data, cloud and cybersecurity will go up.

Employees are worried about their jobs.

The reports about TCS and its bench policy have started a conversation about job security in the IT industry. Employees at tech companies are talking about how artificial intelligence, changing client expectations and performance-based restructuring will affect their careers in the long term.

While TCS says its business is still strong employees are still worried about what will happen to their jobs in the future. TCS is still getting deals and growing its business but employees are concerned about the companys policies on jobs and employment. Tata Consultancy Services is still a player, in the IT sector and its decisions will affect the industry as a whole. Tata Consultancy Services is. This change is affecting the IT sector in India.

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