TCS Under Fire: Government Probes Massive Layoff Allegations
Tata Consultancy Services (TCS), India’s biggest IT company, is under government scrutiny because 2,500 employees were reportedly fired without following proper procedures.
An employee-rights group called NITES complained to the authorities, saying TCS let people go unfairly. In response, the Labour Commissioner has sent TCS an official notice asking the company to explain why this happened and whether legal rules were broken.
NITES says that TCS is planning to lay off up to 12,000 employees in Pune. They also claim that many workers have already been removed unfairly, without proper documents, without talking to them first, and without giving them the compensation they should receive.
Deputy Labour Commissioner Nikhil Walke reviewed the complaint and sent a show-cause notice to TCS. This notice asks TCS to explain why they are reducing staff and to respond to claims that some employees were wrongfully fired.
Officials said TCS must now prove that the layoffs were done legally and that they followed rules meant to protect workers from being fired without a valid reason. However, TCS has not made any public statement about these allegations or the notice.
Its situation is happening at a time when India’s IT industry, once seen as very stable, is dealing with lower demand from global clients, pressure to cut costs, and more attention on how companies treat employees.
Employee groups say several tech companies are carrying out “silent layoffs” by pushing people to resign or by not giving them new projects, instead of officially announcing job cuts.
Industry Impact
The labor department stepping in shows that the government is now watching IT companies more closely, especially as tech workers are asking for better protection and clearer rules during a period of uncertainty in the industry.
The matter will proceed after TCS sends its official response to the notice. Based on what the company says, the authorities may hold hearings, ask for more details, or take further action if needed.
For now, the notice itself is significant because it represents a rare clash between TCS, one of India’s most powerful companies, and the labor authorities.
