The advancement of Artificial Intelligence (AI) in the last couple of months has shaped the way we work and the workplace in drastic ways. And one of the largest IT services company in India, Tata Consultancy Services (TCS) seems to be a proof of this. In August, TCS confirmed in a public statement that it had let go of 12,000 employees. The news created quite a stir in the industry, but soon after, speculations were rife online that the actual number of layoffs could be much higher than officially stated.Social media buzz and employee claimsOn X (formerly Twitter), a user named Soham Sarkar claimed—citing a close friend who has worked with TCS for 15 years—that nearly 80,000 employees were asked to resign. According to his post, some employees reportedly received up to 18 months of severance pay, while others got significantly less (roughly for just three months).“Met a college friend who works at TCS, and according to him, around 80,000 ( yes 80k, it’s not a typo) employees have been let go so far – some with 18 months salary, some with 3 months, and some with zero severance package. This is a staggering number, and I am sure it will spill over to other IT services firms,” Sarkar tweeted on September 28, 2025.This post quickly gained people’s attention online, with several users adding sharing their own anecdotes. One user, Jashan, commented: “I’ve heard a similar story from a friend whose wife works at TCS. Not sure about the 80k number, but he said people are being let go without severance packages.”Another user shared, “Very true. One of my managers was forced to take VRS after more than 25 years with TCS. My neighbour was also laid off after 20 years. Former managers say they receive fluidity lists every week.”While these online posts show the anxiety among employees, we could not independently verify the claims.Rumours or truth? TCS responds…Considering how quickly Sarkar’s tweet went viral online with over 479,000 views in just a few hours, TCS was quick to address the issue. A TCS spokesperson has strongly dismissed the reports of 80,000 job cuts, clarifying that the figure being circulated on social media is incorrect. The company maintains that the number of layoffs stands at 12,000.Industry-wide trend: The sad reality of AI and job cuts
The uneven reality of enterprise AI adoption is an opportunity.
This is not an isolated incident where AI has led to job cuts. Other IT giants are also restructuring their workforce, several reports suggest. For instance, Accenture reportedly laid off around 11,000 employees over the past three months, Deccan Herald reported.The driving force behind these changes is the rapid growth of generative Artificial Intelligence (gen AI). Many companies are now automating tasks that were previously performed by mid-level and senior employees. For instance: Coding, once considered a secure white-collar job, is now increasingly being handled by AI tools, allowing corporates to reduce team sizes and cut costs.Why IT professionals need to upskillIndustry experts believe that while AI may replace certain repetitive roles, it will also open new avenues for skilled professionals. The key lies in embracing AI as a tool rather than fearing it.As Google AI chief Dr. Jeff Dean highlighted during the Google @Research event in Bengaluru (2024): “India has tremendous technical talent. Anyone with an interest in computer science is turning their attention to machine learning. India is well-positioned because many students and professionals are already engaged in this field.”This suggests that India could play a leading role in shaping the future of AI innovation if its workforce adapts quickly.AI as a creator of opportunitiesSupporting this view, Aravind Srinivas, CEO of Perplexity AI, recently advised young professionals to invest their time in learning generative AI rather than spending hours scrolling through social media. Explaining this, he had said, “AI will impact society in a way where people who upskill will be employable, while those who don’t will fall behind. Anytime there is new technology, it never progresses this fast.”The bottom lineWhether TCS’s layoffs are closer to 12,000 or 80,000, the larger truth is clear: the IT industry is undergoing massive transformation due to AI. Instead of resisting change, professionals must focus on reskilling and learning AI tools to remain relevant.India’s strong base of technical talent provides an edge— but only those willing to adapt will thrive in this rapidly changing landscape.What are your views on this? Tell us in the comments section below.
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