Latest news with #Gurnani
Time of India
a day ago
- Business
- Time of India
TCS layoffs: Former Tech Mahindra CEO CP Gurnani quotes Sholay line and sends a message to techies
Tata Consultancy Services (TCS) recently announced its plans to lay off 12,000 employees which is roughly 2% of its workforce. Now, former Tech Mahindra CEO CP Gurnani has shared a thought-provoking message to the Indian tech industry. Quoting the iconic dialogue from popular Bollywood film Sholay 'Kitney aadmi the?... Thank God that period will be over.' Speaking to CNBC-TV18, Gurnani has urged the tech industry to move beyond the obsession of headcount and embrace outcome-based models. Gurnani stresses on a shift from the traditional pyramid-style delivery system which has long been associated with Indian IT. He further emphasise that the Indian tech industry should prioritise enhanced productivity, specialised skills, and advanced technological capabilities. A sector in transition During the recent round of layoffs, TCS insists that the job cuts are not driven by AI but by skill mismatch and the need to realign talent with emerging business demands. TCS CEO K Krithivasan also clarified that the decision of the company is majorly driven by deployment feasibility and not productive gains from AI. Apart from TCS, Infosys and Wipro have also witnessed a decline in headcounters from over 12,000 and 25,000, respectively, in the past two years. Additional, HCLTech also announced restructuring at the company due to location and skill mismatches. Also, experts suggest that the roles such as low level coding, testing and documentation have now become obsolete. Time to change the working model For decades, India's IT prowess has been built on its vast talent pool. However, as global demands shift towards more complex, niche, and AI-driven solutions, the emphasis is increasingly on quality over quantity. Former Nassscom chairman Ganesh Natarajan also spoke in support of Gurnani's viewpoint. Natarajan called the pyramid model as 'Jurassic Park material'. He also feels that agentic AI — software that autonomously performs complex tasks—will force companies to rethink team structures and delivery models. Analyst are also of the viewpoint that the layoffs may also increase due to the market share shifts and vendor consolidation, not just automation. The entry level jobs at BPO and customer service roles are the most vulnerable. Gurnani's message aims to encourage Indian tech professionals to upskill and reskill and embrace new AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Hindustan Times
2 days ago
- Business
- Hindustan Times
‘Kitne aadmi the': Ex Tech Mahindra CEO calls TCS layoffs end of ‘Sholay era' in IT companies
Reacting to Tata Consultancy Services' (TCS) decision to lay off around 12,000 employees, Former Tech Mahindra CEO Chander Prakash Gurnani used an iconic dialogue from the Bollywood movie Sholay to hint at a major shift in how Indian IT firms operate. CP Gurnani claimed that the layoffs signal the end of evaluating IT companies on the size of their workforce.(Image courtesy: Tech Mahindra) The IT veteran spoke to CNBC-TV18, claiming that the layoffs signal the end of evaluating IT companies on the size of their workforce and a shift in focus to growth driven by artificial intelligence (AI). 'The focus on the Sholay dialogue 'Kitne aadmi the' or judging the Indian IT industry based on headcount, thank god that period will be over. All of us will have to rewire ourselves to start looking at output and outcome-based business models, outcome-based pricing, and look at what it does for business and customers, instead of looking at IT and systems in isolation," he said. 'I am actually quite excited because we, as in the Indian IT industry, have a chance to prove that we will build platforms and accelerate innovation, and we will rule the world focusing on the application cycle,' he added. However, the former CEO dismissed fears of AI causing job cuts and said that while some roles may be chopped, AI integration will soon create new types of jobs. 'If you see the job openings at these companies, they have only increased since the previous year. This is because they need more AI engineers, more data scientists, prompt engineers and people who can collapse a few functions of an organisation,' he added. Earlier, TCS confirmed that it would slash its workforce by about 2%, laying off 12,000 employees, throughout this year. Citing change in technology and client expectations, the company claimed that it was realigning its strategy. The move will affect mid-level and senior roles across the firm. Recently, overall hiring in India's IT industry has dipped. According to data quoted by the Economic Times, from April to June 2025, India's top six IT firms added only 3,847 employees, compared to 13,935 in the previous quarter.
Time of India
2 days ago
- Business
- Time of India
TCS layoffs mark the end of the ‘Kitne aadmi the' era, ushering in AI and automation-led Indian IT future
The Indian IT industry, long regarded as a stable and secure employment hub, is undergoing a dramatic transformation. Tata Consultancy Services (TCS), known as one of the safest employers in the sector, has announced plans to lay off approximately 12,000 employees over the coming years. This decision is largely driven by the global adoption of artificial intelligence (AI) and automation, reshaping how companies allocate human resources and deliver value. Former Tech Mahindra CEO and current AIonOS co-founder CP Gurnani has weighed in on the development, declaring an end to the 'Sholay days' of Indian IT, referencing the iconic Bollywood film to signify the closure of an era defined by manpower-heavy operations. TCS's decision to cut jobs and CP Gurnani's declaration of the 'end of the Sholay days' symbolise the closure of one chapter and the beginning of another for India's IT sector. The shift from manpower-centric models to AI-driven, outcome-based operations marks a fundamental evolution in how IT services are delivered and valued. While it may disrupt traditional employment patterns, it also opens the door to new opportunities for innovation, efficiency, and global competitiveness—provided companies and employees adapt quickly to the change. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like I Asked ChatGPT What Humanity Will Achieve In The Next 30 Years — Here's What It Said Liseer Undo TCS layoffs showcase AI-driven transformation of Indian IT: End of 'Sholay days' TCS has traditionally been seen as an employment safe haven in India's IT ecosystem. Its decision to cut jobs signals a fundamental shift not just for one company but for the entire industry. The mass layoffs highlight how AI is replacing routine roles, reducing reliance on manual processes while increasing efficiency. The message is clear: employee headcount is no longer the primary measure of success. For decades, Indian IT companies competed based on workforce size, winning global contracts on the strength of large delivery teams. Now, automation and AI are reducing the need for such scale, and businesses are increasingly prioritising productivity, innovation, and technological expertise over sheer numbers. CP Gurnani's 'End of Sholay Days' remark: 'Kitne aadmi the?' In an analogy referencing Sholay's famous dialogue 'Kitne aadmi the?', Gurnani said the industry must abandon its fixation on workforce strength. He noted that the era of measuring success based on manpower metrics is over and urged IT firms to embrace output- and outcome-based pricing models. These models shift client engagement away from billable headcount to value delivery, where contracts are based on performance and results rather than working hours. According to Gurnani, this transformation will position companies for success in an AI-driven global marketplace. AI-driven IT era focuses on skills, innovation and outcome-based work culture Artificial intelligence and automation are at the core of this transformation. Tasks that previously required entire teams can now be executed by AI agents or automated systems, reducing operational costs while increasing speed and accuracy. Gurnani emphasised that routine jobs will inevitably be automated, but he also pointed out that this will create new, specialised roles requiring advanced skills in AI, machine learning, data science, and cybersecurity. This shift demands a workforce that is reskilled and upskilled for emerging technologies. IT professionals will need to adapt quickly, transitioning from performing repetitive tasks to delivering strategic, high-value contributions. Gurnani's view challenges traditional work philosophies, including the recent statement by Infosys founder Narayana Murthy advocating extended working hours for young professionals. In contrast, Gurnani argues that working longer is not the solution; working smarter is. He stresses the importance of focusing on measurable outputs, innovation, and strategic impact rather than the number of hours clocked in. This approach mirrors the shift already seen in leading global tech firms, where success is defined by agility and outcomes rather than manpower-heavy models. Gurnani leads AIonOS to bring AI into business operations As Executive Vice Chairman and Co-Founder of AIonOS, Gurnani is directly contributing to this paradigm shift. AIonOS is focused on integrating AI across business operations, enabling companies to operate with greater efficiency, speed, and profitability. The venture aims to help businesses transition into AI-native enterprises—organisations built around automation, data-driven decision-making, and advanced analytics. By positioning AI at the core of enterprise architecture, AIonOS seeks to blend human ingenuity with machine intelligence, creating scalable models that optimise performance while reducing operational redundancies. The TCS layoffs and Gurnani's remarks highlight a broader trend: the Indian IT sector is at a crossroads. The industry, once driven by large workforces and offshore delivery models, must now reinvent itself around advanced technology, innovation, and outcomes-based client relationships. For employees, the lesson is clear: reskilling and upskilling are essential. Professionals who develop expertise in AI, data analytics, cloud computing, and cybersecurity will be best positioned to thrive in this new era. Companies, meanwhile, must invest in workforce transformation to ensure they remain competitive globally. Also Read | Bill Gates reveals the success mantra for winning in AI era: Curiosity, reading and…
Time of India
2 days ago
- Business
- Time of India
‘Kitne aadmi the': CP Gurnani explains why TCS layoffs are a sign that the ‘Sholay era' of IT companies is over
Tata Consultancy Services ' (TCS) recent decision to lay off around 12,000 employees is being viewed by industry leaders as a sign of a major shift in how Indian IT firms operate. Former Tech Mahindra CEO CP Gurnani said the move signals the end of evaluating IT companies based on workforce size, calling for a stronger focus on outcome-based models driven by artificial intelligence (AI). Shift from headcount to output-led metrics Speaking to CNBC-TV18, IT veteran CP Gurnani said Indian IT firms will increasingly move away from being measured by employee numbers. 'The focus on the Sholay dialogue 'Kitne aadmi the' or judging the Indian IT industry based on headcount—that period will be over,' Gurnani told CNBC-TV18 . Explore courses from Top Institutes in Please select course: Select a Course Category Product Management Healthcare MBA healthcare Data Analytics Design Thinking Project Management Data Science CXO Digital Marketing Artificial Intelligence Operations Management Data Science Management Public Policy others Leadership MCA Cybersecurity Others Finance Skills you'll gain: Product Strategy & Competitive Advantage Tactics Product Development Processes & Market Orientations Product Analytics & Data-Driven Decision Making Agile Development, Design Thinking, & Product Leadership Product Strategy & Competitive Advantage Tactics Product Development Processes & Market Orientations Product Analytics & Data-Driven Decision Making Agile Development, Design Thinking, & Product Leadership Duration: 40 Weeks IIM Kozhikode Professional Certificate in Product Management Starts on Jun 26, 2024 Get Details Skills you'll gain: Product Strategy & Roadmapping User-Centric Product Design Agile Product Development Market Analysis & Product Launch Product Strategy & Roadmapping User-Centric Product Design Agile Product Development Market Analysis & Product Launch Duration: 24 Weeks Indian School of Business Professional Certificate in Product Management Starts on Jun 26, 2024 Get Details Skills you'll gain: Product Strategy & Competitive Advantage Tactics Product Development Processes & Market Orientations Product Analytics & Data-Driven Decision Making Agile Development, Design Thinking, & Product Leadership Duration: 40 Weeks IIM Kozhikode Professional Certificate in Product Management Starts on Jun 26, 2024 Get Details Skills you'll gain: Product Strategy & Roadmapping User-Centric Product Design Agile Product Development Market Analysis & Product Launch Duration: 24 Weeks Indian School of Business Professional Certificate in Product Management Starts on Jun 26, 2024 Get Details He added, 'We will have to rewire ourselves to focus on output and outcome-based business models, outcome-based pricing, and more importantly what it does for business and customers, instead of looking at IT and systems in isolation.' Human-centric AI will reshape jobs, not just cut them Addressing concerns over job losses, Gurnani noted that although some roles may be cut due to automation and AI integration, new types of jobs are also emerging. He pointed out that hiring in AI roles is already on the rise. 'If you see the job openings at these companies, they have only increased since the previous year. This is because they need more AI engineers, more data scientists, prompt engineers and people who can collapse few functions of an organisation,' he said. Live Events You Might Also Like: TCS layoffs 2025: Why India's biggest IT co is asking 12,000 techies to leave, who's at risk, and what severance package they will get 'There is no point of having an HR organisation. Ultimately, it will become how do I serve my employee. That means it is a data-centric organisation, with a human touch,' Gurnani added. TCS trims workforce amid shift in business priorities TCS recently confirmed that it would reduce its workforce by about 2%, affecting nearly 12,000 employees, over the course of 2025. The company cited changing technology demands, client expectations, and strategic realignment as key reasons for the move. The layoffs are expected to mainly impact employees in mid-level and senior roles across various business units. According to the company, the job cuts are part of its long-term plan to become more agile and focus on emerging areas like artificial intelligence, data science, cloud computing, and automation. Revised bench policy puts pressure on unallocated staff Amid layoffs, TCS has also introduced a stricter deployment policy that limits bench time to 35 business days per year. Employees are now required to be billed for a minimum of 225 working days annually. Failing to meet these expectations may affect their salary progression, promotion prospects, and continued employment. You Might Also Like: TCS layoffs: Job cuts due to skill mismatch, not AI automation, says CEO K Krithivasan During their time on the bench, employees must attend office and spend four to six hours daily on upskilling through internal and external learning platforms. The company has asked staff to take initiative and work closely with the Resource Management Group (RMG) to find project opportunities. Workers' group flags mental health and job security concerns The Nascent Information Technology Employees Senate (NITES) recently raised concerns over the pressure faced by employees under the revised bench policy. In a letter to the Union Labour Minister, the group described the policy as 'inhumane' and said it was causing mental stress among skilled professionals who were temporarily without assignments. 'Instead of support, they are met with suspicion, coercion, and threats,' NITES president Harpreet Singh Saluja wrote in the letter. The organisation also accused TCS of withholding experience letters from those unable to secure new roles within the prescribed time. Hiring slows across India's top IT companies The layoffs come at a time when the overall hiring outlook in India's IT industry has weakened. Data from recent quarters shows that job additions at leading IT companies have dropped significantly. In the April–June 2025 quarter, the top six Indian IT firms added only 3,847 employees, compared to 13,935 in the previous quarter. You Might Also Like: TCS layoffs: IT major to mass fire 12,000 senior, mid-level staffers amid AI push With rising costs, automation, and global economic uncertainty, industry analysts expect more firms to adopt tighter workforce management strategies. As AI continues to replace repetitive tasks, companies are increasingly looking for employees with specialised skills in digital transformation, cybersecurity, and advanced analytics.
Indian Express
2 days ago
- Business
- Indian Express
More than minimum: Why govt is mulling ‘living wage', and what it could mean for women at work
Low wages are holding women back from formal employment – 54 per cent of blue- and grey-collar women employees are unhappy with their pay and 80 per cent saving nothing or less than Rs 2,000 per month, according to a new report. 'Income is a make-or-break factor driving women's exit from the blue-grey collar workforce,' the report by Quess Corp, India's largest staffing firm, and the Udaiti Foundation, said. 'Women already face steep opportunity costs to join the workforce. Inadequate wages that ignore local realities simply drive them out,' it added, flagging a 'clear gap between minimum wage and living wage'. The need to align minimum wage with real living costs has also gained traction among top policymakers. The Union Ministry of Labour and Employment, for instance, is discussing the concept of a living wage, which factors in expenditure on health and education that is currently excluded from minimum wage calculations. According to Vandana Gurnani, Labour and Employment Secretary, accounting for health- and education-related expenses in wage standards could 'reduce the opportunity cost' women face when entering formal employment. Low pay, high costs push women out The report found that blue- and grey-collar women employees earn just 70 per cent of what men do, and that low wages, combined with high opportunity costs like unpaid caregiving, time lost to commuting, or the cost of migration, make it difficult for women to 'sustain at work'. Based on a survey of over 10,000 current and around 1,600 former women employees at Quess, it said workers in peri-urban zones, which host significant manufacturing activity, often have minimum wages that lag behind urban benchmarks, despite high living costs. 'Costs are higher in Tier 1 cities, but 1 in 5 women earn below INR 20,000, which is typically the stipulated minimum wage… Those earning above INR 20,000 are 21% less likely to drop out in the near term, showing that better pay supports retention,' it said. Quess provides staffing and outsourcing services to over 3,000 clients across sectors like retail, IT, manufacturing, and banking. At the launch of the report on July 24, Gurnani said, 'Conceptually, it's very good if you go beyond nutrition, housing, and clothing, which are currently counted for minimum wage, to expenditure on health and education, which is proposed.' 'From a women's perspective, it is very important because the care model, like childcare, is going to cost them. (Inclusion of health and education) will reduce the opportunity cost that women face when they come out to work,' she said. Gurnani added that the ministry is figuring out how to 'do this in a diverse setting because things vary from state to state'. She also highlighted the need for a 'social dialogue' with employers and employees. 'So, it is currently at that stage. It is not happening today, but I am glad that we started thinking about it,' she said. For women, wages only part of the problem While living wage standards would benefit all workers, the impact could be more significant for women, who face higher opportunity costs. This is particularly relevant given India's low female labour force participation rate (LFPR) – just 32 per cent for women above 15 years as of June, compared to 77.1 per cent for men, according to the Periodic Labour Force Survey (PLFS). Several economists argue that India's female LFPR must cross the 50 per cent mark if the country is to achieve developed economy status. In addition to low wages, women workers also contend with poor work culture, limited access to safe and affordable housing, and mobility constraints. In some states, regulatory barriers add to the challenge. 'There are 54 laws that actually prohibit women from participating in the workforce. Among them are the night shift laws, which are now being removed state by state,' said Pooja Sharma Goyal, founding CEO of Udaiti Foundation. 'What happens when you dismantle night shift laws is that the private company becomes responsible for ensuring a woman's safety on her way home at night. That includes providing transport. Now, many large companies are able to provide that, while the small ones are not. Those are some of the nuances we need to start thinking about,' she told The Indian Express. Industrial hubs draw more women According to Guruprasad Srinivasan, CEO of Quess Corp, a state's industrial base – particularly its manufacturing strength – is a key driver of higher female workforce participation. 'Tamil Nadu hosts many large, modern electronics and manufacturing units, followed by states like Karnataka and Maharashtra. With higher workforce participation in manufacturing, these states naturally absorb more women workers,' Srinivasan said. 'High finger dexterity and hand-to-eye coordination are areas where women tend to do well. We test these skills, and more women pass than men. So naturally, there's demand for them in sectors like electronics and auto manufacturing. The semiconductors sector is another space to watch,' he said. Aggam Walia is a Correspondent at The Indian Express, reporting on power, renewables, and mining. His work unpacks intricate ties between corporations, government, and policy, often relying on documents sourced via the RTI Act. Off the beat, he enjoys running through Delhi's parks and forests, walking to places, and cooking pasta. ... Read More
