TCS To Layoff 2% Workforce in 2026

TCS office amid workforce restructuring

Indian tech giant TCS is continuing workforce reductions as part of its restructuring programme that began in 2025. The company has confirmed that the process will extend into 2026, with further job cuts planned across teams and roles.

Company executives stated during the Q3 results briefing that the restructuring exercise is only halfway complete. Around 1 percent of the workforce has already been impacted, and the remaining cuts will continue in the coming months to reach the 2 percent target.

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TCS has maintained that all exits follow a structured internal process. The company claims it explores redeployment and alternative roles before final decisions are taken, positioning the layoffs as part of long term operational changes.

The announcement has heightened anxiety among employees who are already facing tighter performance metrics and delayed appraisals. Mid level and senior level professionals who do not meet expectations under the new operating model are expected to be the most affected.

In the previous quarter, TCS reportedly laid off around 1,800 employees. Company data shows nearly 11,000 exits by the second quarter, followed by about 20,000 by the third quarter, amounting to nearly 3 percent of its workforce.

With restructuring still underway, more job cuts are expected as TCS works towards its overall headcount reduction goals in the coming quarters.

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