Reports are emerging that Major IT Companies are gearing up for massive layoffs for cost control. Worrying reports are that Seven IT Majors are likely to give Pink Slips to about 58000 Employees who are at the bottom of the table on performances front.
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Cognizant is looking to part ways with 15000 Employees which is the highest. Radical Changes in Outsourcing due to the Policies of Trump Government in the United States and Automation is said to be the reason for the downsizing of employment.
Most of the companies are sending back the employees who are senior and are on the high pay scale. Instead, they will be employing new candidates with lower pay scales which will increase the profit margins. Indian IT Companies are majorly dependent on Outsourcing.
They are now looking to decrease the number of Indian employees working in the United States and hire the locals. Infosys already announced recruiting 10000 Locals in the USA in the coming two years. IT is the highest employment creating an industry in the country and these layoffs will have a huge impact.
