Tata Consultancy Services (TCS) has assured the ministry of labour that it remains committed to honouring all job offers it has made, even as it faces delays in onboarding due to global market challenges. The IT major submitted its response via email to the chief labour commissioner (CLC), citing deferred client projects as the reason behind the hold-up in inducting new hires.
TCS cites market conditions
The labour ministry had sought clarity from TCS following a complaint by tech employees’ union Nascent Information Technology Employees Senate (NITES), which flagged delayed onboarding for around 600 lateral hires and raised concerns about the company’s proposed plan to lay off 12,000 employees in the coming months. Although a representative from NITES attended the meeting convened by the CLC, TCS chose to submit its reply in writing.
In its response, TCS attributed the delays to “prevailing global market conditions” and maintained that such fluctuations in hiring timelines are routine in the IT industry, especially when project schedules are impacted. The company, however, was dismissive of the union’s role, questioning its standing to intervene in the matter and noting that the complainant had “not established its locus stand”.
Union demands support
NITES, for its part, submitted a representation demanding a definitive onboarding timeline, compensation for affected candidates, mental health support, and assistance for those who have already relocated. The union also raised broader allegations including forced resignations and violations of labour laws, but the CLC observed that these claims lacked supporting documentation. NITES has committed to submitting the necessary evidence in due course, after which the labour office will review the matter further and decide on scheduling another meeting if needed.
TCS had earlier announced a global workforce realignment as part of its broader restructuring plan. The move is expected to impact around 2% of its global headcount, which is roughly 12,000 employees, as the company gears up for a future-ready operating model.
The labour ministry is expected to monitor the situation closely in the coming weeks.