TCS Unions Slam Layoffs, Allege Breach of Indian Labor Law
Three major IT unions have slammed the Indian government's inaction, alleging that Tata Consultancy Services (TCS) has breached the Industrial Disputes Act. TCS admitted to laying off 19,755 employees in Q2 FY26, with unions disputing the company's claim of only 6,000 involuntary attritions.
TCS, India's largest IT services firm, has come under fire from unions for retrenching 6,000 employees without adhering to proper procedures and obtaining prior government approval. The unions, in a joint statement, also criticized the government's failure to enforce labour laws and regulate IT companies.
TCS has acknowledged dismissing 19,755 employees during the second quarter of the current fiscal year, resulting in a net reduction of the same number. This figure includes a total of 38,255 employees let go during the quarter. However, the unions dispute TCS's claim that only 6,000 of these departures were due to involuntary attrition, as stated by the company's new CHRO, Sudeep Kunnumal.
The unions have urged both state and central governments to take immediate responsibility and protect workers' rights by regulating IT companies. They argue that governments, particularly in countries like India and the United States, must enforce labour laws to prevent companies like TCS from exploiting and misusing employees without consequences.
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