TCS Q2 FY26 results: IT giant's workforce shrinks by nearly 20,000 in Q2 FY26 amid restructuring
TCS released financial results for July-September 2025 without disclosing attrition or headcount numbers. The company’s results announcement typically includes these employee metrics each quarter.
- Oct 9, 2025,
- Updated Oct 9, 2025 9:25 PM IST
IT giant Tata Consultancy Services (TCS) reported a notable decline in its workforce for the quarter ended September 30, 2025 (Q2 FY26). According to the company’s official filing, the closing headcount stood at 593,314 employees, down from 613,069 in Q1 FY26 — a net reduction of 19,755 employees in a single quarter. The sharp quarterly drop reflects the company’s ongoing restructuring efforts, combined with normal attrition, as TCS continues to realign roles and optimize its workforce.
In July 2025, TCS CEO K. Kirthivasan unveiled a global restructuring initiative aimed at reducing the company’s workforce by roughly 2%, or about 12,000 employees, primarily affecting middle and senior management roles.
However, it skipped published its attrition rate for the July–September quarter on Thursday, 9 October 2025. Ordinarily, the company’s earnings releases feature the attrition figures in addition to financial performance indicators.
In past quarters, TCS consistently included details on the last twelve months (LTM) attrition rate and its total workforce size immediately following its results announcement.
In the first quarter of FY26, Tata Consultancy Services (TCS) reported consolidated revenue of ₹63,437 crore, reflecting a 1.3% year-on-year (YoY) increase in rupee terms. However, revenue declined by 1.1% in US dollar terms to $7.42 billion. In constant currency (CC) terms, revenue registered a 3.1% YoY decline. TCS ended the quarter with a workforce of 6.13 lakh employees, while attrition stood at 13.8%.
The omission of these benchmarks in the Q2 FY26 press release has surprised industry observers, who view such data as essential for tracking employee stability and recruitment trends within the sector.
TCS typically shares a press statement after announcing quarterly earnings that details its total headcount, attrition rate for the preceding year, and other employee metrics. This quarter, however, the company offered only its core financial results—such as net profit, topline growth, and operational metrics—without providing workforce details.
The omission comes at a time when attrition rates and hiring trends are under intense scrutiny across India’s IT industry.
TCS Q2 results
Tata Consultancy Services (TCS) posted a muted net profit growth of 1.4% year-on-year, reaching Rs 12,121 crore for the second quarter of FY26, compared to Rs 11,955 crore in the corresponding period last year. Sequentially, net profit declined by nearly 5% from Rs 12,760 crore reported in Q1 FY26. Despite strong investor and employee interest, the company did not disclose its quarterly headcount and attrition figures. Revenue rose 2.3% year-on-year to Rs 65,799 crore and grew 3.7% on a sequential basis.
TCS CEO K Krithivasan, speaking on the performance, said: “Our journey is anchored in bold transformation across talent, infrastructure, ecosystem partnerships and customer value. The investments, including the building of a world-class AI infrastructure business, demonstrate our commitment to this transformation.”
IT giant Tata Consultancy Services (TCS) reported a notable decline in its workforce for the quarter ended September 30, 2025 (Q2 FY26). According to the company’s official filing, the closing headcount stood at 593,314 employees, down from 613,069 in Q1 FY26 — a net reduction of 19,755 employees in a single quarter. The sharp quarterly drop reflects the company’s ongoing restructuring efforts, combined with normal attrition, as TCS continues to realign roles and optimize its workforce.
In July 2025, TCS CEO K. Kirthivasan unveiled a global restructuring initiative aimed at reducing the company’s workforce by roughly 2%, or about 12,000 employees, primarily affecting middle and senior management roles.
However, it skipped published its attrition rate for the July–September quarter on Thursday, 9 October 2025. Ordinarily, the company’s earnings releases feature the attrition figures in addition to financial performance indicators.
In past quarters, TCS consistently included details on the last twelve months (LTM) attrition rate and its total workforce size immediately following its results announcement.
In the first quarter of FY26, Tata Consultancy Services (TCS) reported consolidated revenue of ₹63,437 crore, reflecting a 1.3% year-on-year (YoY) increase in rupee terms. However, revenue declined by 1.1% in US dollar terms to $7.42 billion. In constant currency (CC) terms, revenue registered a 3.1% YoY decline. TCS ended the quarter with a workforce of 6.13 lakh employees, while attrition stood at 13.8%.
The omission of these benchmarks in the Q2 FY26 press release has surprised industry observers, who view such data as essential for tracking employee stability and recruitment trends within the sector.
TCS typically shares a press statement after announcing quarterly earnings that details its total headcount, attrition rate for the preceding year, and other employee metrics. This quarter, however, the company offered only its core financial results—such as net profit, topline growth, and operational metrics—without providing workforce details.
The omission comes at a time when attrition rates and hiring trends are under intense scrutiny across India’s IT industry.
TCS Q2 results
Tata Consultancy Services (TCS) posted a muted net profit growth of 1.4% year-on-year, reaching Rs 12,121 crore for the second quarter of FY26, compared to Rs 11,955 crore in the corresponding period last year. Sequentially, net profit declined by nearly 5% from Rs 12,760 crore reported in Q1 FY26. Despite strong investor and employee interest, the company did not disclose its quarterly headcount and attrition figures. Revenue rose 2.3% year-on-year to Rs 65,799 crore and grew 3.7% on a sequential basis.
TCS CEO K Krithivasan, speaking on the performance, said: “Our journey is anchored in bold transformation across talent, infrastructure, ecosystem partnerships and customer value. The investments, including the building of a world-class AI infrastructure business, demonstrate our commitment to this transformation.”