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
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.
- 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.
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.
A related headline from Business Standard "Pink slips rain in Indian IT but NASSCOM head denies jobless growth"
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."