India, April 16 -- Indian IT services firms are entering a new phase of workforce restructuring in the United States, where layoffs are beginning to reflect not just a cyclical slowdown but a deeper shift in delivery economics driven by artificial intelligence (AI).

Regulatory filings and industry signals suggest that job cuts in early 2026 may already be exceeding those seen across the whole of 2025. While the absolute numbers remain measured, the pattern is significant. The impact is disproportionately visible in onsite roles tied to large transformation deals, traditionally considered stable anchors of the Indian IT business model.

At one level, the layoffs are linked to a slowdown in large deal-making. Enterprises, particularly in N...