The Union of IT & ITES Employees (UNITE) staged protests on Tuesday against Tata Consultancy Services (TCS), alleging that the company’s ongoing workforce reduction could affect as many as 30,000 employees. TCS has denied the claim, reiterating that the cuts are limited to about 2 per cent of its workforce, or roughly 12,000 roles.
The demonstrations, organised in collaboration with the Centre for Indian Trade Unions (CITU), were held across multiple cities to demand an immediate rollback of the decision. UNITE leaders also called for government intervention, warning that the scale of the layoffs could be far larger than publicly acknowledged.
Speaking to The Hindu Business Line, Chandra Shekar Azad, UNITE’s Joint Secretary, said the only common factor among those affected so far has been “experience”. He argued that even employees with proven skills and leadership credentials were being removed, creating uncertainty within teams.
UNITE’s General Secretary, Alangunambi Welkin, told the publication that the union, which has around 300 members including 50–60 from TCS, intends to expand its campaign by working with international trade organisations if authorities fail to act.
Some union members also alleged shortcomings at TCS’s Siruseri campus, including limited access to mandated upskilling tools on personal devices, which they said forced employees to seek alternative equipment. These claims have not been independently verified.
Company response
TCS, in a statement to Business Line, rejected the union’s allegation as “incorrect and misleading”, stressing that the impact would be confined to the previously communicated 2 per cent of its global workforce. The company employs over 600,000 people worldwide, making it one of India’s largest private employers.
Management has framed the move as part of a broader restructuring to build a “future-ready organisation”, with investments in cloud, AI, and digital transformation. It has stated that severance and transition support will be offered to affected employees.
Government monitoring
Reports in Business Standard and Economic Times indicate that the Ministry of Electronics and Information Technology (MeitY) is monitoring the developments. Labour authorities in Karnataka, where TCS has a significant presence, have also scheduled a conciliation meeting for early September after receiving complaints from unions.
No individual employees have formally lodged complaints with the regulator so far, according to TCS’s submissions cited by Economic Times.
The protests come amid shifting workforce strategies in India’s IT services industry. Nasscom, the sector’s trade association, has noted that companies may increasingly adopt product-aligned delivery models in the months ahead, potentially driving rationalisation of traditional roles.
Despite the controversy, TCS remains financially strong. The company reported 6 per cent year-on-year revenue growth in FY25, the highest operating profit margin in the sector, and a 20 per cent rise in dividend payouts, according to Deccan Herald.