TCS Layoffs Shock Techies: Hidden Financial Horror

TCS layoffs have left employees shocked, with tax on severance pay adding to the outrage. Losing a job is never easy, but when it comes from a company seen as safe, the impact feels even heavier.

The layoffs do not just affect individuals. They spread fear among their colleagues and across industries. Many who once saw TCS as a secure employer now feel a deep sense of insecurity and betrayal.

What angers people most is not only the sudden loss of income but also how severance pay is treated. Instead of acting as relief, it gets taxed along with bonuses, night shift allowances, and other payments.

Under the Income Tax Act, only limited cases like Voluntary Retirement Schemes enjoy exemptions. For everyone else, amounts above the prescribed limits face deductions at regular tax slabs, reducing the final settlement even further.

The double hit of job loss and tax burden leaves affected employees with little financial security. While companies cite restructuring or skill gaps as reasons, many believe stronger social and tax support is essential to protect workers in such crises.