Govt Calls IT Layoffs Routine, Pushes Upskilling Amid Industry Shifts
India’s IT industry continues to be a net hirer, and the focus remains on equipping professionals with relevant skillsets to meet dynamic industry needs, a MeitY spokesperson said.
The Ministry of Electronics and Information Technology (MeitY) on Monday said that layoffs in the IT sector, including at companies like Tata Consultancy Services (TCS), are seen as a regular part of the industry’s evolution due to changing skill and talent requirements.
A MeitY spokesperson said that India’s IT industry continues to be a net hirer, and the focus remains on equipping professionals with relevant skillsets to meet dynamic industry needs. “The government is actively working to align workforce capabilities with future demand through initiatives like the FutureSkills PRIME programme,” the official said.
FutureSkills PRIME is a reskilling and upskilling initiative aimed at preparing IT professionals for emerging technologies such as AI, cloud computing, cybersecurity, and blockchain. The government sees such programmes as a long-term buffer against job loss and talent mismatch.
Earlier on Monday, NDTV Profit had reported that the government hadn't received any formal concerns regarding TCS layoffs. It also noted that employment matters in the private sector typically fall outside its jurisdiction unless there's a specific case of unfair dismissal or a breach of labour laws.
TCS has announced plans to reduce its workforce by 2%, impacting over 12,000 employees. The layoffs, targeting middle and senior management, are part of TCS’s restructuring initiative aimed at improving agility and aligning talent with evolving business needs. CEO K. Krithivasan clarified that the move is not driven by artificial intelligence or cost-cutting, but by skill mismatches and redeployment challenges.
