Indian IT sector to see up to 38% fewer jobs this fiscal

Many of us watching the IT services sector already knew this but here is an update from Times of India

  • IT industry is reorganizing its workforce to deal with automation and achieve cost savings.
  • TCS and Infosys saw employee headcount reduce by 1,414 and 1,800 in April-June quarter respectively.
  • There will be lower net addition of techies due to sectoral headwinds and macro economic factors.

In what comes as a harbinger of turbulent times setting in for the IT sector, NASSCOM has said the industry would create 20-38% fewer jobs in FY18 compared to fiscal 2017. The industry would create 1.3-1.5 lakh new jobs (lateral plus campus) in FY18 while it had added 1.8 lakh jobs in FY17. At its peak, the sector added nearly 2.40 lakh jobs a year.

There will be lower net addition of techies due to sectoral headwinds and macro economic factors. "Tech is eliminating jobs in every sector, including IT. It is also creating jobs. Countries like the US and UK have been adopters of technology and have experienced the same cycle. Today, their unemployment levels are close to zero. While there is job loss and pain, ultimately, it is the only route to economic prosperity," said Chandrasek har on the sidelines of an event here.



With companies in the information technology (IT) realigning and reskilling their workforce to address a changing requirement, Nasscom, the apex association of companies here, has said it would look at bringing norms related to human resource (HR) issues, if needed.

Speaking to reporters on the sidelines of an HR meet organised by NASSCOM here, R Chandrashekhar, president, said: "We would not want that anyone should lose their job at all. But, given the circumstances, some of these cases will come up. We believe that companies have to handle this issue with sensitivity, transparency and with agility."

Comments

Post a Comment

Popular posts from this blog

Checklist: What to do after death of a Parent or loved one?

Image
With a death in the family, survivors may have to come to grips with the stark reality: how to move forward after the death. While the grieving process can take time, one also must address several documentation, paperwork and other formalities. Here are a few things that you will have to follow up on: To Do Immediately After Someone Dies Inform loved ones, family and friends Arrange for a funeral - depending on your custom and current regulations and wishes of the deceased, you will have to plan for the final rites Plan for after death ceremonies - this will depend on your customs (e.g  After death ceremonies – Brahmin Iyer ) Apply for a  death certificate . This is the most important legal step and may be a two-step process The hospital, crematorium or burial ground officials may issue a letter/document with the name of deceased and cause of death.  The letter/document needs to be submitted to the local municipal/corporation office that will ‘record’ the death and i...
Read more

A victim of “Pig Butchering” scam, an Indian American family succumbs to tragedy

Image
This week I got a WhatsApp message in a university alumni group about a GoFundMe page created by Aruna, a batchmate that talked about her husband’s suicide after he fell victim of a cryptocurrency scam. In the GoFundMe page, Aruna went on to explain  how her husband was an  “unfortunate victim of a cryptocurrency scam where he was skillfully manipulated into parting with our entire life savings. Through the shameless, methodical and savvy deception of these heartless cyber criminals, they utilized a “pig butchering” scheme and managed to convince him to pull every single penny out of our life savings, including all of our retirement funds. There is nothing left in our accounts, except debt and loans to pay.”   Video viewpoint by Author, Mohan Aruna’s family is the story of a typical middle-class American dream. She migrated to the US with her husband after her masters in India. They then spent the past couple of decades pursuing the American dream – seeking a Gree...
Read more

Will the Indian layoffs affect SAP consultants?

As we know that there are few IT giants, who are asking their employees to leave organization in good terms. So, my query is, will it affect SAP SD Consultants (SAP Core Module Consultants)? My Experience in SAP SD is 2 to 3 Years. Please Explain!!! Let us start by understanding the context of ‘layoffs’ Check out My2cents on that topic “ What is the reason behind the layoffs in IT firms in India? Is it related to the H-1B visa, or some other reason?”)  Let us look at the question from a couple of angles Are SAP SD skills marketable? The skills certainly seem marketable. There are a few hundred jobs posted on LinkedIn (India), many posted by Infosys, Wipro, HCL etc. Will a company retain SAP SD consultant on long-term bench ? Let us assume you work for a services firm (“IT Giant”) that just lost a large account where dozens of SAP SD Consultants worked in a support role. After waiting for a while, they may decide to layoff *all* the folks on bench for more than 2-mon...
Read more