Information technology giant Tata Consultancy Services is winding up its operations in Lucknow after 33 years in the Uttar Pradesh capital.
The sudden move caught employees off guard and is likely to impact around 2,000 IT professionals.
The company, however, clarified that there would be no job losses.
Though the company did not issue any formal notification, sources said it verbally communicated the decision to wrap up operations in Lucknow to its team leaders.
“Vice-president Tez Bhatla visited the Lucknow office on Wednesday and informed team managers. That was the only formal communication,” said a senior employee of the company.
Sources said one of the reasons behind the company’s decision was failed negotiations over lease agreement of the present location. The TCS office is based out of Awadh Park in the Gomti Nagar area of Lucknow.
“The 10-year lease expired in May but it was extended for another 11 months. The company could not agree to the new rent. The builder asked for much higher than the market rate,” said the source. The company expects to wrap up its business in Lucknow by December this year.
The decision threw the TCS employees into a tizzy, with many wondering if they would be jobless. Some TCS associates said though they had seen it coming, they were earlier this year assured they would not have to shift out.
The employees have petitioned Chief Minister Yogi Adityanath, Prime Minister Narendra Modi and Union Minister for IT Ravi Shankar Prasad, requesting them to intervene. They have also launched a social media campaign under hashtags such as savetcslucknow and savetcsplease.
“We have asked the PM and the CM to intervene. We don’t know about the company’s strategy, but if the decision is avoidable it should be taken back. We do not agree with this sudden decision. At a time when we talk of Digital India, the company is not thinking about its employees who have given all their years to it,” said a TCS employee.
Though TCS did not specifically explain why it was not able to function out of Lucknow, the company clarified that it was “only consolidating its UP operations in Noida and there will be no job loss as a consequence.”
“There have been false rumours and reports being circulated in the media about the company's operations in Lucknow. TCS is working to ensure that employees get opportunities in Noida and other centres across India,” the company said in a statement.
TCS CEO Rajesh Gopinathan, while speaking at a quaterly result function in Mumbai, also clarified that “there will be no layoffs.”
“We are committed to grow our business in UP and are consolidating operations in Noida,” he said.
