Goa, July 27 -- India's largest IT services firm, Tata Consultancy Services (TCS), has announced plans to reduce its workforce by around 2%-impacting more than 12,000 employees-during the financial year 2025-26 (April 2025 to March 2026). The move primarily affects middle and senior management and is part of a broader effort to make the company "more agile and future-ready," according to TCS CEO K Krithivasan.

While the layoffs coincide with the increasing adoption of artificial intelligence and evolving business models, Krithivasan clarified that the decision is not solely driven by AI. Instead, it reflects a need to align employee skill sets with emerging technologies and changing client expectations.

TCS has made significant investme...