New Delhi, August 12: A significant leadership change has begun at Tata Group. According to sources from NDTV Profit, N. Chandrasekaran, Chairman of Tata Sons, has resigned from his position. However, he will continue to serve as chairman until the end of his current term in February 2027 but will not apply for reappointment.
This decision comes amid reports of disagreements between Tata Sons and Tata Trusts regarding the extension of his term over the past few months.
Tata Sons is one of the largest business groups in the country, controlling over 30 major companies, including TCS, Tata Motors, and Air India. Tata Trusts holds approximately 66 percent of the stake in Tata Sons, playing a crucial role in the group’s strategic decisions.
In his statement, N. Chandrasekaran expressed gratitude for the opportunity to contribute to this prestigious institution over his 40-year professional career. He stated, “Leading Tata Sons for the past decade has been a great honor and responsibility.”
Media reports indicate that disagreements arose between Chandrasekaran and Noel Tata, Chairman of Tata Trusts, regarding the proposal for his reappointment. Issues such as the future governance structure of the group, the potential listing of Tata Sons, and board representation were points of contention, leading to a lack of consensus on the term extension.
Notably, N. Chandrasekaran began his career with Tata Group in 1987. He became the CEO of Tata Consultancy Services (TCS) in 2009, under whose leadership the company achieved remarkable global expansion. He was appointed Chairman of Tata Sons in 2017.
In recent years, the Tata Group has faced several significant business and operational challenges, including regulatory issues related to Air India, pricing pressures on TCS, and cyberattacks on Jaguar Land Rover. Despite these challenges, the group has continued to pursue investment and expansion strategies across various sectors.
This is not the first time disagreements between Tata Sons and Tata Trusts have come to light. In 2016, the removal of then-Chairman Cyrus Mistry also sparked discussions about the relationship between the two entities. Following Chandrasekaran’s resignation, all eyes are now on the group’s next leadership arrangement.
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