Tata Trusts has approved a third executive term for Tata Sons Chairman N Chandrasekaran, making a rare exception to the conglomerate’s retirement age policy, The Economic Times reported. This is the first formal waiver of the Tata Group’s rule that requires executives to step down from active roles at 65.
Chandrasekaran, who turns 65 in February 2027, would have normally been required to exit his executive position. However, Tata Trusts, which owns 66 per cent of Tata Sons, has backed his continuation citing strategic continuity as the group navigates expansion in semiconductors, electric vehicle batteries and the turnaround of Air India.
The proposal, moved by Noel Tata and TVS Group Chairman Emeritus Venu Srinivasan, was reportedly passed unanimously during a Tata Trusts meeting on 11 September. Tata Sons is expected to formalise the extension in February 2026, when Chandrasekaran’s current term ends, according to the report.
The decision points to Chandrasekaran’s growing influence within the USD 150-billion salt-to-software conglomerate and reflects board confidence in his leadership. Since taking over in 2017, he has led a sweeping transformation across group companies, nearly doubling Tata Group revenue and tripling profit. In FY25, the group reported Rs 15.34 lakh crore in revenue and Rs 1.13 lakh crore in profit.
The extension also comes amid reported internal differences over whether Tata Sons should go public. A July board resolution reaffirming the company’s preference to remain private is under review. Chandrasekaran’s continued leadership is seen as a stabilising factor during a period of strategic and governance uncertainty within the group.
Under Tata Group norms, executives must step down from active roles at 65 but may continue in non-executive positions until 70. Noel Tata, for instance, transitioned to non-executive roles at 65. The latest move marks a departure from that precedent. |
