Tata Consultancy Services (TCS) has reported a slight rise in employee attrition and a sharp fall in its total workforce in the December quarter of FY26. The numbers reflect the impact of the company’s ongoing restructuring plan.
In the third quarter (Q3 FY26), TCS said its attrition rate increased to 13.5 per cent. This is slightly higher than the 13.3 per cent reported in the September quarter. Attrition refers to employees leaving the company due to resignations, retirements, or other reasons.
Along with higher attrition, TCS also saw a major drop in its headcount. The company’s total number of employees fell by more than 11,000 during the quarter. At the end of December 2025, TCS had 5,82,163 employees, compared to 5,93,314 in the previous quarter.
The IT major said this decline is part of its planned workforce rationalisation. Since the first quarter of FY26, TCS has reduced its workforce by 30,906 employees. This reduction followed a restructuring plan announced in July 2025.
Under this plan, TCS had said it would cut around 2 per cent of its workforce during FY26. The company also clarified earlier that the impact of these cuts would be mainly on middle-level and senior-level management positions.
TCS is India’s largest IT services company, and its hiring and attrition trends are closely watched across the industry. The latest figures show that the company is continuing to streamline operations while managing employee movement during a challenging global business environment.
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