TCS Layoffs: TCS employees are currently reporting an environment of fear as ongoing layoffs affect teams across the company, even including those working on new technologies. Amidst this atmosphere, grave allegations have surfaced, including the existence of a ‘fluidity list’ for potential layoffs, which is causing intense uncertainty and resulting in forced resignations. Disturbingly, some employees have reportedly faced harassment from HR and the Resource Management Group (RMG) before their final termination. This situation arises nearly two months after initial reports surfaced that Tata Consultancy Services (TCS), India’s largest IT firm, planned to cut approximately 2 per cent of its global workforce, which translates to over 12,000 jobs. The true and painful impact of this decision is now being acutely felt across the company’s employee base.
A recent wave of sudden and forced resignations has left countless employees grappling with profound uncertainty and unease about their future within the company. For many, this situation has led to significant personal distress. For example, one former employee recounted his deeply troubling ordeal, which culminated in his termination. According to a detailed report by Moneycontrol, this individual is currently unemployed and has been forced to hide his precarious situation from his own family. Such personal stories underscore the unseen ‘human suffering’ resulting from the mass job cuts.
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‘Forced to Resign,’ Says Former Employee
A 35-year-old former employee, Rohan (name changed), who dedicated 13 years to TCS after joining as a campus recruit, shared his harrowing experience. He claimed he felt compelled to resign following five months of what he described as intense “harassment” by both the Human Resources (HR) department and the Resource Management Group (RMG), the Moneycontrol report stated. When he was initially asked to resign, Rohan felt profoundly “betrayed by the Tata Group company he had been loyal to for over a decade.” Although Rohan ultimately chose not to resign, the IT giant eventually proceeded to terminate his employment in mid-2025, according to the report.
He further alleged that the company pressured him to pay a recovery fee of $6–8 lakhs for the entire period he was designated as ‘on the bench’—that is, between projects. He told the publication that while approximately half of this substantial amount was deducted from his gratuity and accrued paid leave, the remaining balance was eventually settled by TCS. Earlier in his career, Rohan had participated in a successful five-year project with a major automotive client. However, as that major project concluded, he could only secure a one-year engagement immediately after. “On completion of that project, I had to struggle to find another project in this area, as there was not much work or deals for TCS in this space. I had reached out to managers of other teams as well,” he shared with MC. Rohan then found himself on the bench for several months before his eventual termination. He also recalled that HR and RMG would frequently call him for enquiries, and at one point, his system access was also revoked. “They started threatening me saying I was moonlighting for other companies, tried to put me on enquiry. This went on for months, the mental torture was nothing less living in the hell,” he candidly revealed. Rohan is currently living at a friend’s place while continuing his intensive search for a new job in Pune. “My family, wife and kids in my hometown are not aware of this. I couldn’t bring myself to tell them about it,” he expressed. Livemint noted it could not independently verify the report.
Why Is TCS Implementing Layoffs?
In its official statement released in July, TCS clarified that the ongoing layoffs are an integral component of its broader strategy to transform into a “future-ready organisation.” The company specifically emphasized significant investments in new technology, AI implementation, market growth, and a necessary workforce restructuring as key drivers for this decision. The statement explained: “Towards this, a number of reskilling and redeployment initiatives have been underway. As part of this journey, we will also be releasing associates from the organisation whose deployment may not be feasible. This will impact about 2 per cent of our global workforce, primarily in the middle and the senior grades, over the course of the year.” This indicates a strategic shift aimed at optimizing the workforce for the skills required in an increasingly AI-driven market.
The Impact: An Atmosphere of Fear and Uncertainty
The effects of this restructuring have manifested as an undeniable “environment of fear” within TCS offices, according to one current employee. This person stated that no one in the office knows “who gets the call next.” The employee noted, “In my office, seniors are getting laid off, above 8-10 years of experience. There’s a lot of fear, confusion and chaos going on in the office right now…Employees are suddenly getting emails to meet the HR, and immediately asked to leave. Some are getting about a week’s notice period and others have to leave immediately.” This erratic process is amplifying the stress. The source also indicated that “Teams after teams are getting fully laid off,” and stressed that “Some who are working even on the new technologies are getting impacted.” This suggests the cuts are not limited to legacy roles. The layoffs, he added, were also being driven by the fact that “ongoing projects were impacted, clients are cost-cutting so now TCS requires fewer number of people on those projects and rest are getting laid off.”
Risk of Being on the ‘Fluidity List’
Impacted and current employees have claimed that managers are utilizing an internal tracking mechanism called the ‘fluidity list,’ which includes the names of people who might be selected for layoffs, the report highlighted. Several current and former employees have alleged that the human resources department contacts employees within thirty days of being placed on this contentious ‘fluidity list,’ presenting them with a difficult choice: either to resign voluntarily or to face official termination. This practice essentially forces the employee’s hand, leading to the term ‘forced resignation.’ Meanwhile, several prominent IT employee unions, including the Forum for IT Employees (FITE) and the Union of IT & ITES Employees (UNITE), have publicly flagged serious concerns over the manner and ethics of the ongoing TCS layoffs.
Detailed FAQs on TCS Layoffs
Q1. What is the reported percentage of the TCS workforce being impacted by layoffs?
A: TCS stated in July that the layoffs are part of a wider restructuring, intending to impact about 2 per cent of its global workforce. This translates to over 12,000 jobs, primarily affecting employees in the middle and senior grades over the course of the year.
Q2. What are the key reasons TCS has provided for the current job cuts?
A: TCS has positioned the job cuts as part of a strategy to become a “future-ready organisation.” This involves significant investments in technology, AI implementation, and a necessary restructuring to align the workforce with the skills required for market growth.
Q3. How is the process of forced resignation allegedly carried out at TCS?
A: Employees on the alleged ‘fluidity list’ are reportedly contacted by HR and given an ultimatum: they can either resign voluntarily or face an official termination within a short period, often 30 days of being placed on the list. This leaves employees with little recourse but to resign to avoid the stigma of termination.
Q4. What kind of difficulties are laid-off employees, like Rohan, facing?
A: Former employees are facing emotional distress, with one account detailing months of “mental torture” from HR and RMG before termination. Post-layoff, individuals are struggling with unemployment and financial burdens, such as recovering training fees, and are often forced to hide their job loss from their families due to social stigma.
Q5. What employee groups are primarily being affected by the current layoffs?
A: While TCS’s statement indicated that middle and senior grades are the primary target, employee accounts suggest that individuals with over 8-10 years of experience are being laid off. There are also reports that employees working on some new technologies and teams impacted by client cost-cutting are also being affected.
Q6. Which employee unions have raised concerns about the TCS layoffs?
A: Several prominent IT employee unions in India, including the Forum for IT Employees (FITE) and the Union of IT & ITES Employees (UNITE), have publicly flagged serious concerns and are actively taking up the issue regarding the manner of the ongoing TCS layoffs.
Q7. Is the ‘fluidity list’ an official TCS HR document?
A: The term ‘fluidity list’ is an allegation made by current and former employees. It is claimed to be a list that managers use to identify and track individuals for potential layoffs. TCS has not officially confirmed the existence or use of such a document.
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