Layoffs are rampant in infra sectors with leading names like GVK, GMR, DLF Ltd reducing staff strength.
Sanchit (name changed) is a 32-year old mid-level manager with a leading MNC, who is working overtime these days as three of his team members were laid off last month as his firm has fewer projects on hand. Sanchit is not the only one. Companies across industry verticals are going through a hiring slowdown due to the general deceleration of the economy, which has led to weaker order books and consumer demand.
Be it layoffs, downsizing or slow replacement hiring, India Inc is reeling under economic pressures and not adding to the job pool.
Layoffs are rampant in infrastructure sectors with leading names like GVK, GMR and DLF reducing staff strength in the last one year. Education solutions firm Educomp was in the news recently for laying off 3,500 employees. Sources said Reliance Capital Asset Management last week handed over pink slips to around 200 of its employees across the country as part of a ‘cost-conscious drive’. The company has 900 employees. In an email to employees, Sundeep Sikka, CEO, Reliance CAM, said the company has taken the cost-conscious drive across the organisation to recognise inefficiency and eliminate non-performing costs and renegotiate contracts.
The $108-billion Indian IT-ITEs industry, which has seen a drop in business volume and growth rate, has so far not seen any kind of mass retrenchment by top-tier firms but has adopted other means to rationalise manpower.
The country’s fourth largest software exporter HCL Technologies did not honour the commitment it made to freshers and took more than a year to assign jobs to several graduates interviewed and offered employment in September 2011. Some freshers who were supposed to join the firm said they were asked to join for less pay than promised during campus recruitment.
“We have not seen companies laying off people as most of them have not hired significantly over the last year. At present, there is a freeze on hiring in certain companies including replacements and intake of freshers. IT