On Friday, N.R. Narayana Murthy, founder and chairman of Infosys, expressed dejection over the layoff of employees in IT companies. This step is taken as a part of their cost cutting strategy.
“It is sad,” Murthy said in an email reply to a query from a news agency about the recent IT layoffs. Anyways, he did not elaborate much on that matter.
Infosys had declared they might give pink slips to hundreds of employees as it carries out a performance review.
The development and improvement comes at a time when the peers of the Infosys; Cognizant and Wipro are carrying out similar measures to bring down the cost.
Wipro also has asked about 600 employees to leave the organization as a part of its annual performance appraisal.
According to the executive search firm Head Hunters India, the job cuts in the IT sector will be between 1.75 lakh – 2 lakh annually for the next three years because of under preparedness in adapting to new technologies.
“Nearly half of the workforce in the IT services firms will be irrelevant for the next 3-4 years,” was said by McKinsey & Company at the Nasscom India Leadership Forum.
One of the largest recruiters in the country is IT companies. However, they have declared that increasing automation of the processes would lead to the reduction in hiring of employees in the coming years.
