Revealed! Why Chandrasekaran is stepping down
N Chandrasekaran has revealed that his decision not to seek another term as Tata Sons chairman came after one Board member did not support the
N Chandrasekaran has revealed that his decision not to seek another term as Tata Sons chairman came after one Board member did not support the proposal to extend his tenure, leaving the resolution without unanimous backing.The Economic Times was the first to break the development this morning.In a statement issued on Wednesday, Chandrasekaran said the Sir Dorabji Tata Trust and Sir Ratan Tata Trust had “unanimously resolved and recommended” the extension of his next term for five years. The recommendation was subsequently recorded and recommended by the Tata Sons Nomination and Remuneration Committee and the Board.The resolution was tabled at the Tata Sons Board on February 24, 2026.
“However, the proposal was not carried through because one of the Board Members did not support it, and in the absence of unanimous support, I chose to defer the decision,” Chandrasekaran said.Six months have passed since that Board meeting, but “no resolution has been reached till date,” he said. Chandrasekaran’s current tenure as chairman of Tata Sons ends on February 20, 2027.Chandrasekaran asks Board to decide on successionChandrasekaran said the lack of clarity on leadership had become important given the scale of Tata Sons and the strategic projects currently under execution.“Tata Sons is a very large institution and there are many strategic projects that are under critical stages of execution,” he said.
“It is not only necessary to have a leader in place to lead the Group beyond Feb 2027, but also clarity on leadership is important for employees, investors, partners and other stakeholders.”“Under these circumstances, earlier today, I have communicated to the Tata Sons Board, that I have decided not to offer myself for reappointment when my term ends on Feb 20, 2027,” Chandrasekaran said.He has asked the Board to “decide on the succession soon to ensure a proper transition.”Chandrasekaran has completed 40 years of professional life at the Tata Group and has led Tata Sons for the past decade.
He described the opportunity to lead the group as “a great honour and a profound responsibility” and thanked all stakeholders for their support.
The BriefWire