Noel Tata’s Proposal To Split Tata Sons’ Top Role Stalls Amid Trustee Opposition As They Push for N Chandrasekaran’s Third Term
Noel Tata, chairman of Tata Trusts, reportedly floated a proposal to split the top leadership role at Tata Sons into separate positions of chairman, CEO and MD, and deputy CEO, aiming to reshape the governance structure of the group’s holding company. The plan, however, has stalled after facing resistance from some trustees who remain firm on continuity.
Mumbai, September 16: Noel Tata, chairman of Tata Trusts, reportedly floated a proposal to split the top leadership role at Tata Sons into separate positions of chairman, CEO and MD, and deputy CEO, aiming to reshape the governance structure of the group’s holding company. The plan, however, has stalled after facing resistance from some trustees who remain firm on continuity. Noel’s idea suggested that current chairman N Chandrasekaran should transition to a non-executive role when his term ends in 2027. Trustees, instead, are backing a third term for Chandrasekaran despite the age cap of 65.
As reported by the Mint, the discussions also considered appointing a managing director from one of the Tata group companies as the new group CEO, with a deputy CEO role to support operational leadership. Noel Tata reportedly believed this structure would strengthen strategic oversight while allowing Chandrasekaran to focus on broader governance matters. However, trustees argued that continuity at the top was crucial given the group’s ongoing investments and growth initiatives. This difference in opinion ultimately led to the proposal being set aside. TCS Chiplet-Based System Engineering Services: Tata Consultancy Services Introduces Advanced Design and Verification Solutions To Help Semiconductor Firms Move Beyond Traditional Chip Design.
Since taking charge in 2017, Chandrasekaran has overseen a significant turnaround at Tata Sons, reducing debt by over INR 30,000 crore and helping companies like Tata Steel and Tata Motors regain profitability, as reported by the Mint. He has also driven expansion into emerging sectors such as digital, aviation, and semiconductors, consolidating the group’s position across multiple industries. Chandrasekaran’s three-decade-long journey within the Tata Group, including his tenure as TCS CEO, has been widely recognised for operational excellence. GST Rate Cut: Tata Motors To Pass Full GST Reduction Benefit to Customers, List of Cars and SUVs That Will See Price Drops.
Tata Trusts, which holds a 65.9% stake in Tata Sons, retains decisive influence over leadership decisions, as reported by the Mint. Noel Tata succeeded Ratan Tata as chair of the Trusts last year, working alongside permanent trustees including Venu Srinivasan, Vijay Singh, and Jehangir HC Jehangir. The Tata Sons board currently comprises Chandrasekaran, two Trust nominees, the group CFO, and independent directors, reflecting the Trust’s significant role in governance. The group is yet to release an official statement regarding the reported leadership deliberations.
(The above story first appeared on LatestLY on Sep 16, 2025 08:32 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).