Tata Consultancy Services (TCS), India’s largest Information Technology (IT) services firm, is under intense scrutiny after Reddit posts revealed growing anxiety among employees over its newly introduced “benching” policy. Many users believe the policy signals impending mass layoffs.
What is TCS’ new benching policy?
Effective June 12, 2025, TCS has rolled out a revised policy that limits the number of bench days, that is, the period an employee remains unallocated to a project, to just 35 business days per year. The company now requires a minimum of 225 billable business days annually per employee, as per a report by Financial Express.
Internal communications indicate that failing to meet this benchmark could affect an employee’s salary, promotions, foreign postings, and even continued employment.
“Long periods of remaining unallocated shall adversely impact… continuity of employment with the organisation,” the internal note warned.
During bench time, employees must actively pursue new projects by coordinating with the Resource Management Group (RMG) and are expected to spend 4-6 hours daily upskilling through platforms such as iEvolve, Fresco Play, VLS, and LinkedIn Learning.
Working from home is largely not permitted during this period, with employees required to report to the office even when unallocated.
Who might be affected?
While TCS hasn’t disclosed how many employees are impacted, industry estimates suggest that 15-18 per cent of IT workers in India are typically on the bench. With a global workforce of over 6,13,000, this could mean that more than 90,000 employees may face repercussions under the new policy.
The Nascent Information Technology Employees Senate (NITES) has raised concerns with Union Labour Minister Mansukh Mandaviya, calling the policy “inhumane” and harmful to employee mental health.
Despite the backlash, some employees have supported the move, viewing it as a necessary step to address chronic underperformance.
What does TCS say?
TCS CEO K Krithivasan has attempted to downplay concerns, describing the change as a more “structured version of an existing expectation.” He noted that while employee preferences are considered, client demands take precedence, added Financial Express.
“Once we’ve made that investment, we work to ensure associates are deployed,” he said. However, he did not confirm whether salaries would be withheld for extended bench periods.
The rollout comes as the IT sector faces slower demand, rising operational costs, and increasing automation due to AI-driven technologies.
TCS is not alone in grappling with utilisation issues. HCL Technologies recently reported a reduction in employee deployment due to project delays and skill mismatches. With staff costs consuming nearly 60 per cent of revenue, analysts believe that such policies could soon become common across the industry.
Reddit backlash
Amid the growing concern, Reddit users have expressed strong reactions.
“Forced resignations have already started. Bloodbath,” one user claimed.
A recent joiner expressed frustration about being pushed into a support role unrelated to their Java training, while another noted, “They will replace freshers' jobs,” raising concerns over future prospects.
“That means no work for 1.5 years?” a commenter asked.
Another summed it up, “So basically mass layoffs without the company taking the blame. Employees will be forced to ass-kiss their managers.”
