TCS Employees On Edge as New Bench Policy Sparks Layoff Fears

Thousands of employees at Tata Consultancy Services (TCS) are reportedly anxious over a revised internal policy that may result in large-scale layoffs. The company’s new approach to managing its “bench” — employees currently without client projects — has raised concerns, with insiders fearing that over 12,000 jobs could be at risk.

TCS, India’s largest IT services firm, is known for maintaining a large bench to ensure flexibility in project staffing. But the revised policy appears to tighten timelines for redeployment, pressuring employees to quickly find billable projects or face exit. While this isn’t the first time Indian IT firms have dealt with bench-related churn, the scale and timing of this move — in a sluggish global tech market — have drawn attention.

Sources within the company say that many employees have received internal alerts marking them “unallocated” for extended periods. The new policy reportedly gives a limited window for finding assignments, failing which separation procedures may begin. While TCS has not officially confirmed the number of possible layoffs, internal chatter suggests thousands could be affected.

From an employee standpoint, the uncertainty is triggering anxiety across locations, especially in Tier 2 cities where job options outside major IT hubs are limited. Those working remotely from cities like Nagpur, Indore, or Bhubaneswar now face added pressure, both in terms of relocating for new projects or risking unemployment.

Industry watchers note that benching is a standard practice in IT services, but with automation, shrinking global deals, and rising cost control measures, firms are likely revisiting older staffing buffers. However, critics argue that sudden shifts without clarity on transition support can leave employees stranded in an already competitive job market.

TCS, with its longstanding reputation for employee-centric policies, is now facing questions about balancing business efficiency with workforce stability. Whether this bench overhaul is a short-term fix or a signal of deeper structural changes in Indian IT remains to be seen. For now, many employees are simply hoping they’re not next.