Evolution or Extinction: The Imperative Phrase in IT
In a notable announcement, Tata Consultancy Services (TCS), India's largest IT services company, has revealed plans to lay off 12,000 employees, primarily targeting mid-level employees [1]. This development underscores the significant impact of Artificial Intelligence (AI) on the IT services industry, as many traditional roles become redundant.
The acceleration of workforce restructuring in the IT sector is a concerning trend, especially in a country like India where safety nets are less available compared to Western economies. Companies, however, have a moral and social responsibility to act with empathy by offering re-skilling support and transparent communication [2].
The principle of acting responsibly applies not just to the IT sector but to all sectors in the entire global economy. The necessity for employees to become agile, forward-looking, and adaptable is highlighted. The age of decades-long employment in a single domain is over, and lifelong learning is a necessity for survival.
Roles involving knowledge work and routine office tasks, such as translators, historians, sales, customer service, marketing, administrative assistance, and human resources, are highly susceptible to AI replacement due to task overlap with generative AI capabilities [3][4]. However, the IT sector is concurrently creating high-paying roles requiring deep AI expertise, including AI Engineers, Deep Learning Engineers, Data Scientists, Machine Learning Engineers, and AI Product Managers, with average salaries ranging roughly from $136K to over $200K in the US as of 2025 [5].
While roughly 9 million jobs are predicted to be lost due to AI automation globally, about 19 million new jobs are expected to be created over five years, indicating a net gain and transformation of job types rather than overall destruction [3]. Strategies for workforce restructuring emphasize employee reskilling towards AI-related skills and fostering adaptability to new AI-driven roles [2][3].
Companies are compelled to realign staff structure, reduce costs, and invest in talent skilled in AI, cloud computing, data science, and cybersecurity. Integrating AI to streamline operations and create new business models reshapes demand for IT skills toward those consistent with AI deployment, data analysis, product management, and AI consultancy [3].
In summary, the IT job market is undergoing a substantial shift driven by AI, where many traditional roles are at risk but significant opportunities are emerging for those with AI-related expertise. Businesses need robust reskilling and workforce transformation programs to adapt to these changes while managing the displacement risks, particularly among low-experience and routine-task workers. The Darwinian principle of "survival of the fittest" is more relevant than ever for employees.
- In light of the increasing impact of Artificial Intelligence (AI) on the IT services industry, there's a growing need for lifelong learning, especially in the domains of AI-related skills, data science, and cybersecurity.
- The age of traditional jobs in sales, customer service, marketing, administrative assistance, and human resources could be at risk due to AI replacement, but the IT sector is simultaneously creating high-paying roles in AI, such as AI Engineers and Data Scientists.
- Companies, as they realign staff structure and invest in talent, should prioritize re-skilling support and transparent communication to ensure their employees remain competitive in the cybersecurity, data-and-cloud-computing, and AI-driven job market, which is undergoing a significant shift.
