TCS Layoffs: Labour Commissioner Summons IT Giant Over Job Termination Complaints Filed By NITES

TCS had reported a total reduction of 20,000 in total headcount as of September and said it took a Rs 1,135 crore charge for severance packages offered to mid- and senior-level employees who left.

TCS chief HR officer addressed investor and media concerns, stating the firm is not pursuing a targeted layoff number, but will continue to evaluate employee performance. (Photo Source: Tata Consultancy Services/Facebook)

The Labour Commissioner office in Pune has summoned Tata Consultancy Services in matters filed by the Nascent Information Technology Employees Senate over alleged unlawful terminations and layoffs. The hearings are listed for Nov. 18 before the Government Labour Officer, according to the notice viewed by NDTV Profit.

The summons come after the IT Union NITES appealed to the Maharashtra Chief Minister to step in over what it said were the forced resignations of nearly 2,500 mid-to-senior employees in Pune.

NITES told NDTV Profit that the summons reinforce statutory obligations on employers to follow labour law.

NITES said it has assisted several former TCS staff in filing complaints after examining documents and grievance submissions involving abrupt job cuts, coerced resignations, withheld statutory dues and other coercive employment practices. The organisation said it has submitted prima facie material to the authority and welcomed the decision to take cognisance of the matters.

NITES urged any current or former worker who believes they faced wrongful removal or denial of dues to file formal complaints, adding that it will support affected staff in preparing submissions and seeking available remedies.

“We encourage any current or former TCS employee who believes they have faced wrongful termination, forced resignation, withheld dues or unfair treatment to come forward and file a complaint,” NITES said in a media statement to NDTV Profit. “NITES remains committed to supporting IT and ITES employees who require guidance or assistance in filing complaints or understanding legal remedies.”

TCS has not responded to NDTV Profit's request for a comment at the time of publishing this story.

Recent Layoff Developments

In October, TCS confirmed it had released about one percent of its workforce, or roughly 6,000 employees, as part of what it described as an ongoing restructuring effort. Chief Human Resources Officer Sudeep Kunnumal, speaking during the company’s Q2 earnings call, said the firm will continue to evaluate performance as it pursues a shift toward becoming an AI-led technology services company.

Kunnumal rejected speculation that the company planned job cuts of 50,000 to 80,000, stating that the numbers were exaggerated. He said involuntary attrition stood at one percent and that the company was midway through an estimated total reduction of 2% announced earlier in the year. He said the exits largely affected mid- and senior-level staff whose skills could not be redeployed.

The company reported a total reduction of 20,000 in total headcount at the end of the quarter and said it took a Rs 1,135 crore charge for severance packages offered to mid- and senior-level employees who left. TCS reported a margin of 25.2%, excluding the severance cost, up 0.70% from the prior quarter. The company said wage increases were issued to 80% of its workforce.

NITES Opposition To Layoff Actions

Also in October, NITES appealed to the Maharashtra Chief Minister to intervene in what it described as the forced resignation of nearly 2,500 mid-to-senior TCS employees in Pune. The organisation claimed the exits involved staff with ten to twenty years of service and were presented as voluntary resignations in violation of the Industrial Disputes Act, 1947.

NITES said the appeal followed a complaint submitted to the Labour Ministry in July 2025. The organisation said that despite a directive issued by the Ministry in August, TCS continued the job cuts. It sought an investigation and compensation for the affected staff. The matter, it said, reflected broader employment pressures in the sector amid a softened hiring environment.

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