The National Democratic Labour Front’s IT Employees wing is planning to approach the Madras High Court against what it calls the arbitrary downsizing of employees by Cognizant and Wipro. It says the two companies are planning to lay off as many as 30,000 employees between them.
Ramkumar Ramamoorthy, Senior Vice-President of Corporate Marketing at Cognizant, said that IT is largely a people-driven industry even as automation gains prominence.
In FY 2017, the sector added 1,70,000 people, Nasscom said in a report titled ‘Jobs and Skills: The Imperative to reinvent and disrupt’. In the last quarter of FY17, top 5 software companies hired over 50,000 techies.
At a time when software companies are cutting jobs, India’s second largest software company Infosys will maintain its annual campus hiring at 20,000, as it does every year.
While there is panic over job losses in the industry, the government and IT governing body Nasscom say that the current year is no different than any other.
From Nasscom perspective, we are also putting together an initiative for imparting skills in the new areas of technology, said R Chandrasekhar, President, Nasscom.
But employees and industry watchers believe nearly 1 lakh IT jobs will vanish by the end of this year, as revenues and profit margins are under severe pressure.
Some are also looking at changing the industry as the call to acquire new skill sets gets louder.
The Competition Authority of India (CAI) should probe the allegations, since the voices of IT employees are not heard by Nasscom and IT companies, NCU Chairman JSR Prasad told PTI.
IT industry body Nasscom today came out in defence of its members TCS and Infosys, saying the two accounted for only 7,504 -- 8.8 percent -- of the approved H-1B visas in 2014-15.
Replying to query on the latest announcements curbing skilled job visas by Australia and the US, he said there is a rising trend of "protectionism" globally and anti-globalisation.
H1-B Visa issue is a very small one in the whole immigration debate in the US and it is not the only issue that drives the Indian IT industry, said R Chandrasekhar, President, Nasscom.
As Indian IT struggle to find new levers of growth, Tech Mahindra’s CP Gurnani tells Moneycontrol that deal sizes have come down. Long-term outsourcing deals in the range of $100 million & even $50 million are few.
India’s outsourcing industry has been struggling to meet its modest dollar revenue guidance for the last 18 months as customers look to drive down costs and deploy newer technologies.
The amount is the highest ever spent by the body since 2003 — the time it began pushing for more liberal regulations for Indian IT.
Responding to a query by The Straits Times, the ministry said it had not received official notification from India that the review of the pact, officially dubbed the Comprehensive Economic Cooperation Agreement (CECA), had been put on hold.
Reacting to the latest H-1B memorandum issued by Trump administration, Nasscom has said that Indian IT companies will be 'applying for visas for higher level professionals this year’
Nasscom President R Chandrashekhar said that issuance of visas to the tech workers under the intra company transfers has "reduced to a trickle" and so for all practical purposes "the tap has been shut".
R Chandrashekhar, President of software body NASSCOM, said he had earlier witnessed a circumspect response from the US about India's IT concerns, but there appeared to be understanding of the nuances of late.
IT industry body Nasscom today said any move to restrict work rights for spouses of H-1B visa holders may dampen the enthusiasm of tech professionals to go on such visas, but will not directly impact the industry.
Information technology industry body, Nasscom is in the process of appointing a special committee to oversee discussions with the US government on tightening immigration norms.
This is important as in some cases those "benefits and the actual workings of the visa programs are not well understood", Nasscom President R Chandrasekhar said.
NASSCOM President R Chandrashekhar said he will consult the US government and its embassy in India to ensure that the industry does not face any difficulty or hindrance in its work.
Industry body Nasscom today said that US' decision to temporarily suspend the expedited premium processing of H-1B visas will lead to process delays for Indian IT firms too.