Indian IT Giants Trim Bench Strength to 8‑10% in FY27 as AI Investments Accelerate

Indian IT firms have disclosed a strategic plan to lower their bench strength—the proportion of employees without billable projects—to a range of 8% to 10% in fiscal year 2027, reflecting a shift toward higher‑value artificial‑intelligence work.

Current bench levels in many large firms remain above that target, prompting leaders at TCS, Infosys and Wipro to re‑evaluate staffing models and to move idle talent onto emerging AI initiatives that demand new skill sets.

Quarterly earnings released earlier this year revealed the sector posted its weakest second‑quarter results in three years, with revenue growth slowing and profit margins under pressure, adding urgency to the bench‑reduction drive.

Industry analysts comment that trimming idle staff to the 8‑10% band could improve overall cost efficiency, free up capital for AI research and training, and help Indian IT exporters stay competitive against global rivals, though they warn of possible short‑term delivery gaps.