TCS to lay off over 12K worldwide

Saurabh Gupta said HFS Research sees this as a margin-first move.

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"TCS is preserving profitability by aggressively optimising costs. But the company needs to balance it with a bold reinvestment in AI-native services or IP-led growth, or it risks falling behind more agile competitors. The old people-dependent delivery model is breaking. This is just the beginning of what HFS calls "services-as-software," he added.

Over the past two years, tech firms have announced layoffs. Microsoft earlier this month said it would lay off about 9,000, or less than 4 per cent, of its employees. This is the firm's third round of layoffs this year.

According to Layoffs.fyi, about 80,150 employees have been laid off across 169 tech companies in 2025 alone.