Nearly two months after Tata Consultancy Services (TCS) confirmed that it would let go of around 2 per cent of its global workforce, over 12,000 employees, the impact is now visible across India’s largest IT company.

Employees recount experiences of sudden exits, pressure to resign, and an atmosphere of anxiety inside offices, as per a report by Moneycontrol.

One mid-level professional who had been with TCS for over a decade described being pushed to resign after months on the bench, during which his system access was revoked. He was eventually terminated and made to pay a recovery fee of around Rs 6–8 lakh, part of which was deducted from his gratuity and leave encashments. Others narrate similar stories of being accused of moonlighting or given only days’ notice before being asked to leave.

In July, TCS said the decision was part of its workforce restructuring to “become a future-ready organisation,” with investments in artificial intelligence, market expansion, and reskilling. 

“As part of this journey, we will also be releasing associates from the organisation whose deployment may not be feasible,” the company stated.

But employees still inside the company describe a climate of chaos, with teams being laid off in bulk, including those working on newer technologies. Ongoing projects too, they say, are being hit as clients cut costs.

Workers allege that TCS maintains a “fluidity list” of employees at risk of being laid off. Once placed on this list, staff are reportedly given the choice of resigning voluntarily or facing termination, creating constant anxiety among the workforce, added Moneycontrol.

IT unions such as the Forum for IT Employees (FITE) and Union of IT & ITES Employees (UNITE) have criticised the move, calling the scale and manner of layoffs both unfair and opaque.

TCS has maintained that the restructuring is part of a long-term strategic vision to strengthen capabilities and invest in future growth, with a focus on reskilling and redeployment wherever feasible.