Senior staff ready to stick on

Written by Rachana Khanzode | Mumbai | Updated: Jan 9 2009, 05:48am hrs
Thursday was another bleak day for the 52,865 employees of Satyam Computer Services. Its interim CEO Ram Mynampati, agreed that the financial condition of the company is not sound and confessed that he is not aware of the current cash on its books. Employees at junior level, especially with one to two years of experience, are feeling anxiety and are now on a look out for jobs elsewhere. At the same time, some mid-level managers maintained that they want to stick with the company.

Satyam employees have been conveyed that for next three months, they can expect the delivery of work to go as it is, though nothing in terms of salary has been said. Employees are concerned because it would be difficult to jump to another firm in recession times like these. A Satyams junior level employee says, For us, it seems to be more difficult because employees under contract will not be able to leave the organisation. Employees on the bench will be targeted first and with the supply going up, we expect huge negotiations in terms of salary. Another mid-level manager of Satyam says, Most of us want to stand by and take a decision when the entire truth comes out. We want to wait till then.

Ma Foi Management Consultants says that it is not seeing a huge number of CVs floating from Satyam from Wednesday but in general there have been people looking out for jobs from Satyam since last four to five weeks. E Balaji, CEO & director, Ma Foi Management Consultants, said, We saw resumes floating since the last four to five weeks as the series of events opened up in the media. Recently, we have not seen huge numbers.

Attrition at Satyam, on the one hand, will increase salary negotiations in the industry. On the other, it has created concern in the IT industry with respect to the image of the outsourcing model adopted by India. Industry people add that Satyam as a brand has been tarnished. However, if mission critical employees of Satyam move out, it would not just create difficulty for Satyam but for the entire industry too. This is because Satyam has been servicing large brands and this will give a wrong impact on Indias image as a whole, if they are not served in the right manner. Keshav R Murugesh, president and COO, Syntel Inc, says, Client risk around mission critical projects is the single biggest fallout of this transaction. It can have an impact in the short term on the progress of Indias offshore journey particularly at a time when there is some uncertainty around recession. According to Satyams website, its employees excel in engineering and product development, supply chain management, client relationship management, business process quality, business intelligence, enterprise integration, and infrastructure management, among other key capabilities. They are placed around the US, Canada, Brazil, the UK, Hungary, Egypt, UAE, India, China, Malaysia, Singapore, and Australia.

Elusive tag

Junior level employees job hunt begins

Employees assured to expect delivery of work to go as it is

Ma Foi does not see huge number of CVs floating from Satyam

Attrition at Satyam to increase salary negotiations

Outsourcing model adopted by India under scanner