Indian IT Firms Have Started Firing Employees; 1.5 Lakh IT Employees Can Be Fired In Next Few Months
The Coronavirus outbreak may lead to 1.5 lakh people losing their jobs, and organizations have already started handing out pink slips left and right.
Coronavirus has managed to create a huge impact on the economy of not only the country but also the world. Even Infosys’ ex-CFO confirmed this, stating that Indian IT firms will report flat or negative growth.
This will definitely take a toll on the jobs of people, which has already started happening.
Find out more details about the possibility of massive layoffs in the IT industry right here!
IT Industries In Pune Fire Employees Due To A Decline In Clients
A techie employed in a small IT firm in Pune was forced to resign in March, and with him were six others. The techie said, “We were asked to resign immediately or face termination. We were told that though we were performing well, the client is not doing so well and had to resign.”
This techie, name unknown, was employed in zCon Solutions in Pune for about a year now. He, along with some more colleagues when the number of clients declined due to the coronavirus outbreak.
Fareportal, another ITeS-BPO firm, also fired more than a whopping 300 employees over a time period of two weeks. The company issued a statement wherein it was explained that the terminations have been modest in comparison with the other firms.
The statement says, “Many of these people are trainees who have only been with the company a short time. These are the first economic terminations in Fareportal’s 25-year history.”
Small Scale IT Organizations To Face The Brunt
HR experts and industry players have expressed that this is just the beginning, and also estimated that about 1.5 lakh employees in India’s IT industry will lose their jobs.
Aditya Narayan Mishra, CEO of a staffing firm, CIEL HR Services, has revealed that the majority of these layoffs will happen in small scale IT firms that are dependent on a few large companies as their clients.
As per reports, there are about 45-50 lakh employees working in the IT industry, of which 10-12 lakh work in the small scale IT organizations. There is no news about when recruitment would resume for the IT companies and about how much time it would take for the companies to recover.