TCS layoffs: TCS is retraining and redeploying staff as it enters new markets, invests in new technology and deploys AI.Tech layoffs, TCS workforce reduction, TCS job cuts: India’s leading IT services firm, Tata Consultancy Services (TCS), is planning to reduce its workforce by around 2 per cent (over 12,000 jobs) in the financial year 2025-26. The move is likely to impact primarily employees at the middle and senior management levels.According to Reuters, the Tata Group company is retraining and redeploying staff as it enters new markets, invests in new technology and deploys AI, but about 12,200 jobs will be cut as part of the process.“This transition is being planned with due care to ensure there is no impact on service delivery to our clients,” the company said, reports Reuters.Earlier this month, during earnings conference call, Milind Lakkad, Executive Vice President and Chief Human Resources Officer (CHRO) at TCS said that the workforce at the end of the first quarter was 6,13,069. “Net attrition during the quarter was over 5,000 employees. We have honored all the job offers, and we’ll do so for the rest of the year. Lateral hiring will be recalibrated based on the demand outlook,” he said.Lakkad further added that the company will invest significantly in business to stay relevant to our customers with changing technology needs.“In this quarter, our associates invested 15 million hours in building expertise in emerging technologies, enabling them to lead the transformation journey for our customers. It is gratifying to note that TCS now has 114,000 people with higher order AI skills. Our LTM attrition in IT services was at 13.8 per cent at the end of Q1, up 50 bps sequentially,” he said, according to an exchange filing.In the first quarter, the IT giant remained focused on operational excellence and innovation, harnessing data and AI for better performance. Commenting on the developments, TCS CEO K Krithivasan said that the company will focus on scaling AI adoption across applications and workflows.Story continues below this ad“During the quarter, enterprises remained focused on cost optimization, vendor consolidation and efficiency-led technology transformation. Discretionary spend continues to remain under heightened scrutiny and pressure. However, enterprises focused on scaling AI adoption across applications, workflows and data performance remains strong,” Krithivasan said, as per an exchange filing.(With inputs from Reuters and Exchange Filing)© IE Online Media Services Pvt Ltd