TCS job cuts raise concerns: Is Indian IT headed the Silicon Valley way?

Indian Express

28-07-2025

In a move that has unsettled the Indian tech industry, Tata Consultancy Services — the country's largest IT company — announced Sunday that it will be laying off 2 per cent of its workforce. The decision is likely to hit mid- and senior-level employees the hardest. The announcement by the IT bellweather has sparked a degree of uncertainty across the sector, especially with the protectionist stance in countries such as the US and the challenges thrown up by the advent of AI.
The big concern: Is the Indian IT industry starting to mimic the ruthless layoff culture of US tech giants?
For years, Indian IT firms boasted of stable growth and job security. But that image is eroding. It needs to be underlined that India's top tech firms have spent the last decade aggressively expanding, nearly doubling their headcount during the tech boom, especially after the pandemic. Now, with demand softening and pressure on margins, companies appear to be pulling the plug on that growth story.
Together, the top four IT companies — TCS, Infosys, Wipro, and HCL Technologies — employ around 13.70 lakh people. But with TCS firing the first shot, employees at other firms are bracing for the worst. If India's biggest IT company can slash jobs this suddenly, what's stopping the rest? That is the big worry.
'The continued global macro-economic and geo-political uncertainties caused a demand contraction,' said K Krithivasan, Chief Executive Officer and Managing Director, TCS, while unveiling the company results earlier this month. The era of guaranteed job security in Indian IT may be coming to a close amid the global trade issues and economic uncertainty. For a sector that has long been seen as a safe haven for middle-class professionals, the message is clear: no one is immune anymore.
TCS: A decade of scaling up, diversity in hiring
Over the past decade, Tata Consultancy Services (TCS) has demonstrated remarkable workforce growth, scaling up from 319,656 employees in March 2015 to over 613,000 by June 2025, a surge of 91.79 per cent, according to TCS Annual Report. This growth mirrors its expanding business and global reach.
In FY2015, TCS employed people from 122 nationalities across 55 countries. By FY2016, the headcount had jumped to 353,843, with over 90,000 hires, including 74,009 in India alone. Nationality representation rose to 129.
FY2017 saw the workforce grow to 387,000, with 34.7 per cent women and talent from 130 countries. In FY2018, digital hiring became the focus, pushing the headcount to nearly 395,000, with 35.3 per cent women and more than 85 per cent Gen Y employees, reflecting a young, tech-savvy pool.
By FY2019, the company had grown to 424,285 employees, representing 147 nationalities, and added another 24,179 people in FY2020. In FY2021, the workforce reached 488,649, and in FY2022, TCS surpassed half a million employees, with a record 103,546 net additions due to high demand for digital services.
FY2023 marked a strategic pause: hiring slowed, and focus shifted to optimizing resources. The workforce reached 614,795, with attrition at 20.1 per cent, and women making up 35.7 per cent. The number of represented nationalities crossed 150.
By March 2024, headcount adjusted slightly to 601,546, and attrition dropped sharply to 12.5 per cent. In March 2025, it rose again to 607,979, reaching 613,069 by June—adding 293,413 employees in a decade.
TCS's journey is not just about numbers — it's a story of scaling with purpose, embracing diversity, and adapting with resilience in an ever-evolving tech landscape.
Infosys: Growth with a post-peak correction
Infosys has seen an 84 per cent workforce growth in the past decade — from 176,000 employees in FY2015 to 323,578 in FY2025. While this marks strong expansion, the company's headcount slightly declined after peaking in FY2023.
In FY2023, Infosys hit a high of 343,234 employees, having added 50,000 fresh graduates that year to meet surging demand. But hiring slowed afterward, with headcount dipping to 317,240 in FY2024, despite bringing in 11,900 new graduates, as per Infosys Annual Report.
By March 2025, the number stood at 323,578, of which 306,599 were delivery professionals, including trainees. The company maintained a strong focus on client service delivery, even during workforce adjustments.
In FY2022, Infosys had over 314,000 employees, following steady pandemic-era growth. In FY2021, the workforce crossed 260,000, enabled by rapid remote-work adaptation during COVID-19.
Despite the slight post-FY23 correction, Infosys remains a global IT powerhouse. The dip reflects larger industry trends — automation, efficiency mandates, and shifting client needs. Still, Infosys continues to invest in young talent, build digital capabilities, and retain its position among the largest IT employers globally.
Wipro: Steady expansion with strategic realignment
Wipro grew its workforce by 64 per cent over the past decade, from 142,282 employees in FY2015 to 233,346 in FY2025, says the company's Annual Report. However, like its peers, Wipro saw a modest decline after peaking in FY2023.
In FY2023, Wipro reached an all-time high with 245,000+ employees spread across 65 countries. The following year, FY2024, the count adjusted to 234,054, with women making up 36.6 per cent of the workforce—a notable rise from 30.2 per cent in FY2015.
By March 2025, the workforce stood at 233,346, with employees representing 146 nationalities, showcasing Wipro's focus on diversity and global integration. Back in FY2015, the company had 142,282 permanent employees, alongside 28,200 contractors or retainers supporting various functions.
Though hiring slowed after FY23, Wipro remains one of the largest IT employers in India. Its recent moderation in workforce numbers reflects a strategic pivot toward efficiency, automation, and long-term sustainability amid evolving global tech dynamics.
HCL Tech: Doubling talent through steady growth
HCL Technologies more than doubled its workforce over the last decade — from 106,107 in FY2015 to 227,481 by FY2024. This trajectory underlines HCL Tech's consistent rise in the global IT services landscape.
According to HCL Tech Annual Report, in FY2024, the company onboarded 12,141 freshers, growing its headcount by 1,537 net additions. The attrition rate stood at 12.4 per cent, indicating stable retention in a competitive industry.
A decade earlier, HCL Tech had grown from 91,691 in FY2014 to 106,107 in FY2015, setting the stage for sustained expansion. Since then, it has steadily added talent each year, riding the demand wave for cloud, engineering, and digital transformation services.
This growth not only reflects HCL Tech's ability to scale but also its commitment to building a resilient, future-ready workforce, with a strong focus on training, onboarding fresh talent, and navigating industry shifts.