AI Push Drives Record Job Cuts at Top India Private Employer TCS (bloomberg.com)
(Friday October 10, 2025 @05:22PM (msmash)
from the max-pain dept.)
- Reference: 0179744474
- News link: https://slashdot.org/story/25/10/10/1437257/ai-push-drives-record-job-cuts-at-top-india-private-employer-tcs
- Source link: https://www.bloomberg.com/news/articles/2025-10-10/ai-push-drives-record-job-cuts-at-top-india-private-employer-tcs
Tata Consultancy Services made its steepest-ever job cuts as strained ties with the US and a rapid shift toward AI reshape the country's $280 billion IT services sector. From a report:
> India's biggest private-sector employer [1]cut 19,755 employees in the quarter ended Sept. 30 , according to the company's quarterly earnings presentation. That number includes staff fired by the company and people who left voluntarily. The number of employees at Asia's biggest IT outsourcer fell 3.2% from the previous quarter, dipping below 600,000 for the first time since since the year ended March 2022. The company made a provision of 11.35 billion rupees ($128 million) in the quarter for severance related costs.
[1] https://www.bloomberg.com/news/articles/2025-10-10/ai-push-drives-record-job-cuts-at-top-india-private-employer-tcs
> India's biggest private-sector employer [1]cut 19,755 employees in the quarter ended Sept. 30 , according to the company's quarterly earnings presentation. That number includes staff fired by the company and people who left voluntarily. The number of employees at Asia's biggest IT outsourcer fell 3.2% from the previous quarter, dipping below 600,000 for the first time since since the year ended March 2022. The company made a provision of 11.35 billion rupees ($128 million) in the quarter for severance related costs.
[1] https://www.bloomberg.com/news/articles/2025-10-10/ai-push-drives-record-job-cuts-at-top-india-private-employer-tcs
Enlighten me (Score:4, Interesting)
How does AI cause job cuts in outsourced IT? This doesn't make any sense to me. My gut is telling me that its due in part to execs kowtowing to Trump and not wanting to spend money on non-American jobs, and just cutting the job entirely, but I have no evidence of this, but IT outsourcing is in large part Windows Desktop and Windows Server administration which can't just be 'automated' with an LLM, and some savvy IT help desk star isn't becoming 10x more productive with an LLM at their fingers....are they? Am I missing out on some technique or knowledge????
So there are definitely AI job cuts (Score:3)
The problem is that it's very very hard to tell the difference between a company doing regular layoffs because the economy is in freefall thanks to that mess of a trade war and legitimate AI layoffs.
We know for example that AI has triggered a large scale automation push. A lot of the layoffs going on right now aren't AI but they're just basic automation that could have been done years ago. AI has every single CEO and CFO and CTO looking top to bottom to see what they can automate.
But we also know co
Re: Enlighten me (Score:2)
Exactly the same way it does in any other industry. Got any hard questions?