Labour Rights in Question as TCS Staff Face Forced Resignations
Tata Consultancy Services (TCS), one of India’s largest and most valuable IT service providers, is currently facing intense public and legal scrutiny over fresh allegations that employees are being coerced into resigning, with the threat often stemming from failure in mandatory internal assessments.
The controversy has prompted leading IT unions to intervene, demanding increased transparency and robust labour protections for the industry’s workforce.
The Allegations of Unfair Evaluation Against TCS
The primary concern, highlighted by the Forum For IT Employees (FITE), revolves around the use of internal assessments—often covering domain knowledge and upskilling modules—as a tool for workforce reduction rather than genuine skill evaluation.
Employees allege these exams lack clarity and operate under opaque evaluation methods.
Furthermore, they claim the tests impose unreasonably high passing thresholds, reportedly between 70 to 80 per cent.
Crucially, the allegations indicate that this practice is no longer limited to senior staff.
The company is allegedly pressuring even employees with barely two years of tenure to quit upon failing these high-stakes tests.
The impact can be devastating, as FITE highlighted the case of a female employee terminated following the exam, leaving her without income or support.
The forum has formally demanded that TCS release the exam papers and individual scores, asserting that when an examination determines an individual’s livelihood, employees deserve full visibility into their assessment process.
Union Intervention and Legal Scrutiny
The Nascent Information Technology Employees Senate (NITES) has escalated the matter, filing formal complaints with government authorities and seeking intervention from the Maharashtra Chief Minister.
NITES alleges that the company is illegally forcing thousands of employees into involuntary exits through its termination practices.
This number includes an estimated 2,500 employees in Pune alone.
The unions argue that by coercing resignations, often through threats of blacklisting or withholding relieving letters, TCS is effectively conducting mass retrenchment without adhering to the requirements of the Industrial Disputes Act, 1947.
This Act mandates government approval for companies employing over 100 workers to carry out large-scale layoffs. The unions claim TCS is deliberately bypassing this process.
This legal challenge marks a significant pushback against what unions describe as coercive employment practices.
TCS Maintains Stance on Attrition
In response to earlier, related allegations concerning widespread layoffs—partially linked to the company’s “Future Ready” strategy and controversial ‘Bench Policy’ which limits unallocated project time—TCS has consistently denied claims of forced resignations or targeted headcount reduction.
The company maintains that voluntary and involuntary attrition primarily drive its workforce adjustments.
This attrition results from continuous evaluation after significant investment in learning and development.
TCS HR leadership has stated that headcount decline is not target-driven.
Furthermore, they assert that the company releases employees “with a lot of care,” especially mid-to-senior-level staff unable to find suitable roles.
The Call for IT Labour Reforms
Beyond the corporate conflict, this situation has reignited a wider public debate. The core issue is the precarious nature of employment within the Indian IT sector.
Social media users and union leaders actively call for urgent labour law reforms.
These reforms aim to standardize employment security and address the asymmetry in practices like lengthy notice periods.
The ultimate goal is a more balanced framework that treats employees with fairness and dignity.
The controversy highlights a critical need for transparent evaluation systems.
Job security is increasingly linked to continuous assessments in this industry, which makes transparent evaluation essential.
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