New Delhi, July 28 -- Tata Consultancy Services (TCS) is set to cut around 12,000 jobs globally, approximately 2% of its workforce, in what is being termed one of the company's biggest-ever layoffs. However, the IT major has clarified that the decision has nothing to do with artificial intelligence replacing jobs.

In an interview with Moneycontrol, TCS CEO K Krithivasan dismissed speculation that AI-led productivity gains were behind the move, saying the cuts are due to a skill mismatch and the company's inability to redeploy certain employees in its evolving business model.

"This is not because of AI giving some 20 per cent productivity gains. This is driven by where there is a skill mismatch or where we think we have not been able to ...