Tata Consultancy Services (TCS), India’s largest IT services firm, is facing serious allegations after a Reddit post claimed that a senior manager was forced to resign without severance pay following the failure of a client project.
The post, shared by a TCS employee under the username “This_Hedgehog_4115,” has sparked widespread discussion about workplace ethics, project accountability, and job security in the Indian IT sector.
According to the post, the manager had spent over 14 years working at TCS. He was asked to leave immediately after being labeled a “non-billable resource.”
The employee alleged that the manager was denied the standard three-month notice period and severance benefits.
This decision was made despite his long tenure at the company and the fact that he had family responsibilities.
The Project: Unrealistic Goals and Outcome-Based Pressure
The controversy centers around a high-stakes modernization project for an American client.
The client had built 15 legacy applications on IBM systems that were outdated and unsupported.
TCS was tasked with modernizing all 15 applications—a goal the employee described as “impossible without rewriting everything from scratch.”
Despite internal awareness of the technical limitations, management allegedly insisted that the team proceed.
The team was expanded to 10 members and given just one month to complete the modernization.
The project was outcome-based, meaning TCS would only be paid if the deliverables met client expectations.
After four months of effort, the team concluded that none of the applications could be modernized without a full rebuild.
The failure to generate billing revenue led to the manager being blamed for poor performance and terminated without severance.
TCS Yet to Respond Officially
As of August 25, 2025, TCS has not issued an official statement regarding the allegations.
Financial Express and other media outlets have reached out to the company for comment, but no response has been made public.
The incident has surfaced at a time when TCS is reportedly undertaking significant workforce reductions.
As part of a broader restructuring initiative, the company is expected to lay off nearly 2% of its global staff—amounting to around 12,000 employees.
TCS has not confirmed any specific details about the individual terminations involved in the recent controversy.
However, the Reddit post has prompted serious concerns around how the company evaluates employee performance and applies its severance policies.
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