Indian tech company TCS to cut workforce by 2%, affecting more than 12,000 jobs | Singapore Breaking News & Latest Updates

Indian tech company TCS to cut workforce by 2%, affecting more than 12,000 jobs — Business FILE PHOTO: A man walks past a logo of Tata Consultancy Services (TCS) before a press conference announcing the company's quarterly results i...

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FILE PHOTO: A man walks past a logo of Tata Consultancy Services (TCS) before a press conference announcing the company's quarterly results in Mumbai, India, January 11, 2024. REUTERS/Francis Mascarenhas/File Photo

BENGALURU :India's largest IT services provider Tata Consultancy Services will reduce its workforce by 2 per cent in its 2026 financial year, primarily affecting middle and senior management, the company said on Sunday.

The company is retraining and redeploying staff as it enters new markets, invests in new technology and deploys AI, but about 12,200 jobs will be cut as part of the process, it said.

"This transition is being planned with due care to ensure there is no impact on service delivery to our clients," the company added.

India's $283 billion IT sector has had to contend with clients holding back non-essential technology spending because of weak demand, persistent inflation and lingering uncertainty over U.S. trade policies.

TCS Chief Executive K Krithivasan said this month that there were delays in client decision-making and project starts.

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