Indian Tech Layoffs in 2025: A Year of Workforce Restructuring

The Indian technology and startup ecosystem has witnessed a significant wave of layoffs in 2025, as companies across sectors restructure their workforce to optimize costs and improve efficiency. Several factors, including economic uncertainty, increased automation, and profitability concerns, have driven these job cuts.  The Peerlist Layoffs Tracker shows that in 2025, 92 companies have laid off 32,400 employees so far. Recent layoffs include Siemens (5,600 jobs), HPE (2,500 jobs), and Brightcove (198 jobs). The layoffs span various industries, including software, marketing, gaming, and automation. Factors behind these job cuts include cost-cutting, restructuring, and shifts in industry trends.

Major Indian Tech & Startup Layoffs in 2025 IT & Software Companies 

Infosys 
February 2025: Terminated ~350 trainees at its Mysuru campus after they failed internal assessments.  Infosys terminated around 700 trainees hired over the past 2.5 years, citing failed internal assessments. However, the company claims only 350 resigned due to performance issues.
March 2025: Dismissed an additional 30-45 trainees but offered alternative roles in Business Process Management. 
Tech Mahindra 
Q3 FY25: Reported a net decline of 3,785 employees due to restructuring and cost optimization. 
Wipro 
March 2025: Laid off 300+ employees, citing automation and workforce realignment. 
HCL Technologies February 2025: Cut 350+ jobs as part of workforce restructuring. 
Cognizant March 2025: Laid off 500+ employees to optimize costs. 

E-Commerce & Consumer Tech 

• Flipkart 

January 2025: Laid off 1,100-1,500 employees (~5-7% of workforce) and froze hiring to reduce costs. 

• Paytm Payments Bank 

2025: Cut ~20% of its 2,775 employees after RBI imposed restrictions on its banking operations. 

Startups & Emerging Companies 

• ShareChat Early 2025: Workforce reduction to streamline operations. 
• Pocket FM January 2025: Laid off 75 employees as part of cost-cutting. 
• The Good Glamm Group 2025: Workforce cuts due to over-hiring and global economic instability. 
• Unacademy July 2025: Dismissed 250 employees in restructuring efforts. 
• Cult.fit  January 2025: Laid off 100-120 employees. 

Automotive & Manufacturing 

• Ola Electric 

March 2025: Laid off 1,000+ employees across various departments to focus on profitability. 

• Boeing India 

March 2025: Terminated ~180 employees as part of a global layoff strategy. 

What’s Driving the Layoffs? 

• Economic Slowdown: Many companies are facing revenue slowdowns, prompting them to optimize their workforce. 
• Automation & AI Integration: Increased adoption of AI and automation is reducing the need for human workers in certain roles. 
• Investor Pressure: Startups and tech firms are under increased pressure from investors to become profitable, leading to aggressive cost-cutting measures. 

Global Economic Factors: Rising inflation, interest rate hikes, and geopolitical issues have made it challenging for companies to sustain large workforces. Impact on Employees & Industry Trends While layoffs are a difficult reality, they also indicate an industry shift towards a more streamlined and efficient workforce. Many companies are investing in reskilling initiatives and alternative job placements to help affected employee’s transition smoothly. Meanwhile, sectors such as AI, cybersecurity, and green energy technology continue to see strong hiring trends. 

Conclusion The wave of layoffs in 2025 serves as a wake-up call for both employees and companies. Professionals must adapt to changing job market demands, while companies need to strike a balance between cost optimization and workforce stability. As the Indian tech ecosystem evolves, resilience and upskilling will be key to navigating future challenges.

Mon Mar 31, 2025