At least 300 of Tata Consultancy Services’ 1,800 senior executives have left the company in the eight months leading up to March 31, 2026; a churn rate of at least 16%, the highest recorded since TCS went public in 2004.
The exits span principal consultants, vice presidents, and senior vice presidents, many with over 20 years of tenure at the firm. Historically, attrition in this cohort ran at 4–5% annually, making the current rate a sharp outlier.
The departures are unfolding against the backdrop of TCS’s largest-ever restructuring exercise. The company announced plans to cut approximately 2% of its global workforce, around 12,000 roles, over FY26, with the layoffs predominantly hitting middle- and senior-level employees. CEO K Krithivasan positioned the move as necessary to make the company “more agile and future-ready” as it scales AI-led operations across delivery functions.
But the restructuring has unsettled even those not directly in its path. Cuts to variable payouts and internal reorganisation have shaken confidence among senior ranks, pushing even principal and senior vice presidents to exit voluntarily. Management has acknowledged the challenge at the senior level, with VP and CHRO Sudeep Kunnumal telling analysts that mid- and senior-level employees are increasingly struggling to find suitable roles in line with their seniority under the new operating model, and that such exits are being handled “with a lot of care.”
The attrition spike is also narrowing a competitive gap that TCS has long held over peers. The company’s overall attrition stood at 13.5% in the December quarter, compared to 13.9% at Cognizant, 12.3% at Infosys, and 12.4% at HCL Technologies. What was once a defining retention advantage is now effectively gone.
Alongside the restructuring, TCS has tightened work-from-office policies, with some employees having annual appraisals put on hold for failing to meet attendance requirements, adding to a broader atmosphere of uncertainty across the organisation. The leadership churn lands at a sensitive moment for the company. With TCS shares at a six-year low, CEO K Krithivasan is facing mounting pressure from investors, even as the firm continues to navigate slowing global tech spending and contract losses to rivals.
