Shares of IT giant TCS closed 1.5 per cent down today as investors became jittery after the company said it is undertaking a performance-based workforce restructuring.
The bellwether stock lost 1.48 per cent in share price to end the day at Rs 2,455.70 on the BSE. During the day, it fell by 2.62 per cent to Rs 2,427.
At the NSE, TCS shares went down by 1.49 per cent to settle at Rs 2,455.
TCS today said it is undertaking a performance-based workforce restructuring, but it is not a “retrenchment” exercise and the company may exceed its target of hiring 55,000 new professionals this fiscal.
Without giving any specific numbers for employees to be affected by this “continuous” restructuring process, the HR head of the country’s largest software exporter said “it is not that everyone being relieved is a bad performer.”
“It is not a special process. It is a continuous process,” TCS EVP & Head – Global HR Ajoyendra Mukherjee told reporters in Bengaluru.
His comments follow reports about TCS undertaking a significant performance-related restructuring of its workforce, which may also lead to some employees being asked to leave the company.
Downplaying it as a “regular exercise”, Mukherjee also said that the company is on track to meet its gross hiring target of 55,000 employees in the current fiscal ending March 31, 2015, and may even exceed it.