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Massive Layoffs in India


Vihari

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Layoffs are shaking entire India inc. industry. Recession is coming in india by this year end. Now even top level executives are also not spared.

Major one is CTS. My direct exchange saying thousands are laid off every month. CTS is having hard time in all top 10 consulting firms. 

Massive layoffs, which began to grip the country’s embattled automobile and IT sectors last year, have now spread to more segments. While hospitality major OYO says it is weeding out obsolete roles, others like digital payments giant Paytm and IT major Cognizant are cutting costs.

Here’s a snapshot of the country’s aggravating jobs crisis:

  • OYO: The Softbank-backed unicorn is trimming its workforce and has warned about more layoffs in future. OYO “will reorganise more teams across businesses and functions,” CNN reported quoting a letter by CEO Ritesh Agarwal to employees. “This means that, unfortunately, some roles at OYO will become redundant as we further drive tech-enabled synergy, enhanced efficiency and remove duplication of effort across businesses or geographies,” Agarwal added. The letter did not mention the number of jobs being axed, but media reports estimate it to be as high as 2,400.
  • Walmart India: The retail giant has let go of 56 top executives at its Gurugram headquarters. “All the impacted associates (eight in the senior management and 48 in the middle/lower management) have been offered enhanced severance benefits and outplacement services to support their transition,” Krish Iyer, the company’s president & CEO said while confirming the development on Jan. 13. A report in the Economic Times had claimed that the company is letting go of a third of its top management as “profit has eluded Walmart in India with tepid sales growth, more than a decade after entering the country.”
  • Samsung India: At the consumer electronics giant, top-level management is feeling the heat. The company’s chief marketing officer Ranjivjit Singh and enterprise business head Sukesh Jain have resigned owing to a “competitive work environment,” The Times of India reported. The newspaper claimed the company has let go of 150 people after merging some of its departments. Reacting to the development, Samsung India said that it “continuously realigns resources as per business priorities to make our business more robust and efficient for long-term success”.
  • Cognizant: The US-based IT firm is looking to fire around 350 employees as part of a cost-cutting exercise and a shift in focus from traditional services to digital technology, according to a report in The Economic Times. Senior employees with annual packages between Rs80 lakh ($112,712) and Rs1.2 crore may be the ones affected, the report said. In November last year, Cognizant had said it would slash up to 7,000 jobs in the next few months as part of a cost reduction programme.
  • Ola: Last month, the cab aggregator laid off 500 employees from its workforce to cut losses, as per a report published by news website Entrackr. The report further claimed the cab service provider will lay off more employees in the next six months. An Ola spokesperson confirmed the development clarifying that only 5-7% of its 4,500 employees would be impacted.
  • Paytm: In a move to curb expenses, Paytm has reportedly asked 500 mid- and junior-level employees to leave, according to an Entrackr report in November. “We have a well-structured system to assist our colleagues in their journey with Paytm. Performance is also evaluated from time to time, based on which certain decisions may be taken,” a Paytm spokesperson told Entrackr.
  • Quikr:  The Bengaluru-based firm laid off around 2000 of its employees in December. Without confirming the number, the company told news agency IANS that it has decided to tweak its operating model, which resulted in some “workforce rationalisation” and “discontinuation of AtHomeDiva services”.

 

Official data released last year showed that unemployment in 2017-18 was at a 45-year high.

 

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8 minutes ago, dusukochadu said:

Some of them might be loosing jobs because of automating trivial tasks. 

High paying jobs are always risky in India anyways. 

I don't understand the reason to lay off mid to junior level workers. They are cheap labor to western countries. 

 

 

Performance issues kuda untayi a for low and mid level.

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1 hour ago, dusukochadu said:

Some of them might be loosing jobs because of automating trivial tasks. 

High paying jobs are always risky in India anyways. 

I don't understand the reason to lay off mid to junior level workers. They are cheap labor to western countries. 

 

 

jr level positions ki attrition rate thakkuva. once they learn things they change companies for higher pay. major reason idi. 

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59 minutes ago, niceguy said:

Asalu akkada pedda numbers levu gaa.massive antadu endhi..

top level layoffs ante you can imagine how the situation in lower levels too...ripple effects are huge if top level is laid off. Usually top level executives are the one who finds new business opportunity for any company. they are the one thatt brings new projects and contracts. if they are laid off means business is under heavy stress. 

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