TCS Layoffs: Amidst the backdrop of its controversial new bench policy there is more bad news in the pipeline for Tata Consultancy Services (TCS) employees as the IT major is reportedly mulling cut 2 percent of its global workforce which would result in over 12000 TCS workers losing their jobs in the current financial year. How may workers will be affected by TCS layoffs? According to a report by Moneycontrol the fresh round of TCS layoffs will affect workers from all countries and domains where the company is operational. The TCS layoffs are likely to be conducted between April 2025 and March 2026 the report said. At the end of April-June 2025 quarter TCS had about 613000 thus a 2 percent reduction means around 12200 employees are at the risk of losing their jobs during the latest round of layoffs. Notably the Tata Group company had increased its workforce by 5090 employees in the April-June 2025 quarter. Why TCS is implementing fresh layoffs? According to TCS CEO K. Krithivasan the move is aimed at ensuring that the IT giant is future-ready and agile adding that the firm is evaluating skills of employees amid a greater push towards AI-based work. We are pushing new technologies especially AI and changes in operating models. Ways of working are changing. We need to be future-ready and agile. We are using AI extensively and evaluating the skills required for the future. We have invested heavily in associates to provide them with career growth and deployment opportunities. However there are some roles where redeployment has not been effective. The layoffs will impact about 2 percent of our global workforce primarily at the mid and senior levels. This was not an easy decision and has been one of the toughest decisions I have ever had to make as a CEO the report quoted Krithivasan as saying. The CEO added that this is a tough decision but one which needs to be taken to build a stronger company. He revealed that TCS is mulling to increase insurance benefits and provide outplacement opportunities apart from notice period pay and severance package to the affected employees. What is TCS new bench policy? Meanwhile apart from the layoffs thousands of TCS employees could lose their jobs due to the companys new bench policy which has sparked outrage online. The policy which came into effect on June 12 2025 TCS employees are required to maintain at least 225 billable days in a year. The policy also caps the bench period called holding time in industry terms to 35 days in a business year. In the IT industry bench size/benched employees refer to those workers who are not on any active project but serve as backup in case of demand by the client. The benched workers continue be on the company payroll and receive regular salary minus the added incentive that a project may carry.