Tata Consultancy Services (TCS), India’s largest Information Technology (IT) firm with over 6.1 lakh employees, introduced a new policy on June 12, limiting the time employees can remain on the bench, without a project, to 35 days per year. Those exceeding this limit risk demotion or termination, causing widespread anxiety among employees, reported The Financial Express, on Thursday, July 17.
Many have taken to Reddit to express worries about career growth, project allocation, and job security. Industry estimates suggest 15-18% of employees at major Indian IT firms are typically on the bench.
Some employees report being pushed into roles that don’t match their skills. “I was trained in Java, but now I’m being forced into a support project that has nothing to do with Java or Python,” a fresher wrote on Reddit.
Another user cautioned, “This is the first step towards employment rationalisation based on utilisation. Brace for layoffs.”
Employee union calls for government action
The Nascent Information Technology Employees Senate (NITES) has raised concerns about the policy, labelling it “inhumane.”
In a letter to Union Labour Minister Mansukh Mandaviya, NITES President Harpreet Singh Saluja wrote, “These are not non-performing employees, but skilled professionals who find themselves temporarily without allocation… Instead of support, they are met with suspicion, coercion, and threats.”
The letter also accused TCS of threatening termination and withholding experience letters for employees unable to meet “unrealistic deployment timelines.”
Some employees support the policy
Not all feedback is negative. Some Reddit users defended the policy, arguing it targets underperforming employees who remain on the bench for extended periods. “This may help TCS trim some seriously underperforming resources, those stuck on TCS like a leech,” one post read.
TCS officials defend decision
TCS CEO and MD K Krithivasan described the policy as a more structured version of existing expectations. “It’s always been expected that associates take responsibility for their careers. While HR supports project placement, we also expect associates to proactively seek new assignments,” he told The Times of India.
He emphasised TCS’s investment in upskilling and efforts to reduce bench time, adding, “While preferences are considered, projects are driven by client needs, not personal choice. We deploy based on training, demand, and skill alignment.”
Krithivasan did not confirm whether salaries are being withheld from employees who exceed the bench limit.
Industry-wide impact and future trends
Experts predict TCS’s policy may prompt other IT firms to adopt stricter bench rules. “Tech companies must continuously align their employees’ skill sets with evolving client needs,” said Nitin Bhatt, technology sector leader at EY India.
He noted that promotions and salary hikes may increasingly depend on skills in high-demand areas, such as AI, cybersecurity, and digital engineering, rather than tenure.
HCLTech also reported lower utilisation due to project delays and skill mismatches. “We encountered ramp downs in specific areas, resulting in a larger bench,” said HCLTech MD and CEO C Vijayakumar. As costs rise and utilisation falls, India’s IT sector is shifting toward a focus on performance, agility, and continuous upskilling.
