New Delhi, July 29 -- India's $30 billion IT bellwether Tata Consultancy Services (TCS) is laying off 12,000 employees, signalling a deeper churn in an industry grappling with the twin forces of artificial intelligence (AI) and the rise of global capability centres (GCCs).

Once a symbol of India's global ascent and a magnet for white-collar jobs, the IT services sector is undergoing a structural reset. Mint decodes:

TCS, which employs 613,000 globally, is letting go of about 12,200 employees, in phases through FY26. The company has attributed this to a skill mismatch and the limited feasibility of redeploying mid- and senior-level employees amid structural changes in delivery models. The move is part of a larger effort to become "future...