Tata Consultancy Services (TCS), India’s largest IT services firm, is facing mounting criticism following allegations that employees are being coerced into resigning under a newly introduced “Bench Policy.”
The policy, which limits the time employees can remain unassigned to client projects to just 35 days annually, has triggered widespread concern among staff and labor unions, who claim the move amounts to forced resignations disguised as voluntary exits.
The company recently announced plans to reduce its global workforce by 12,000 employees, or roughly 2%, citing automation and business realignment.
However, employees and unions argue that the new policy is being used to pressure staff—particularly those in mid- and senior-level roles—into resigning without formal termination procedures.
What Is the New TCS Bench Policy?
Traditionally, the “bench” period in IT firms refers to the time when employees are not assigned to active projects but remain on payroll while awaiting redeployment.
TCS’s revised policy now caps this period at 35 days, placing the burden of finding new assignments squarely on employees.
If they fail to secure a project within this window, they risk being labeled “non-critical” and asked to resign.
Employees report that even those currently working on projects have been reclassified as non-essential, raising fears that the layoffs extend beyond the bench.
Managers are allegedly being instructed to identify a fixed number of such roles across teams, further fueling speculation of a systematic downsizing strategy.
Allegations of Coercion and Intimidation
Multiple employees have described HR meetings as intimidating and coercive.
They were asked to switch off their phones and not allowed to leave until they agreed to resign.
Some employees were offered three months’ salary as an incentive to resign.
Others were threatened with termination without compensation or a relieving letter if they refused.
A fresher from TCS’s Ahmedabad office claimed he was given only 15 minutes to decide between resignation and termination.
“I chose the safer option,” he said, citing financial constraints and lack of legal awareness.
Similar accounts have emerged from TCS offices in Bengaluru, Hyderabad, and Kolkata.
Reports suggest that 300 employees were forced to resign from the Bengaluru campus alone within a single week.
Union Response and Legal Action
The Karnataka State IT/ITeS Employees Union (KITU) has filed a formal complaint against TCS over its recent HR practices.
Labor organizations have also accused the company of violating provisions of the Industrial Disputes Act, 1947.
They argue that mass layoffs require government approval and that forcing resignations bypasses legal safeguards for workers.
The first conciliation meeting with the Additional Labour Commissioner was held on August 6, but remained unresolved.
A follow-up meeting is scheduled for September 8 to address unresolved concerns.
Unions are demanding greater transparency, fair treatment, and meaningful reskilling opportunities for affected employees.
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