Tata Consultancy Services has now announced that its layoff phase has officially ended. Moreover, the company confirmed that it will return to its standard salary increment cycle. Therefore, employees will no longer face uncertainty regarding hikes or long waiting periods. The standard cycle begins from April 1, although last year saw delays in implementation. Meanwhile, this announcement comes during ongoing controversy around the Nashik BPO unit.
Past Layoffs Created Job Security Concerns
Earlier, in July 2025, the company announced a large-scale workforce reduction plan. It aimed to cut around 2 percent of its global workforce. This number translated to approximately 12,261 employees across operations. The company cited structural restructuring and adaptation to artificial intelligence technologies as reasons. Consequently, employees faced uncertainty about salary hikes and job security. However, the latest decision now brings expected relief to affected employees.
Strong Financial Performance Drives Recovery
According to CEO K Krithivasan, the company has returned to a stable position. He credited strong financial performance, improving demand, and rising business confidence for this shift. Furthermore, TCS reported a profit of ₹13,718 crore in the fourth quarter. This figure shows a 12.2 percent increase compared to the same period last year. Additionally, revenue grew by 9.6 percent and reached ₹70,698 crore.
New Deals Strengthen Business Outlook
The company has also secured new contracts worth $12 billion recently. These deals include several large-scale agreements that support long-term growth. Therefore, these developments have helped TCS regain its previous operational stability. Moreover, the improved business environment has strengthened overall confidence within the company. As a result, employees can now expect a more predictable and stable work environment ahead.
