After startups like Snapdeal, Yepme, Craftsvilla sacked people recently, it is now the turn of IT company Cognizant. According to several media reports, The IT giant is likely to lay off more than 6,000 employees
According to several media reports, Cognizant is likely to lay off more than 6,000 employees or around 2.3% of its workforce which is more than the annual exercise of sacking bottom 1% of the workforce for non-performance. These layoffs are also a result of the rise in digitization and automation. The final number of employees dismissed will be known after the appraisal process is completed i.e by March 31, the reports added. However, a long-term employee of the company on the condition of anonymity told IANS that the layoff numbers may not vastly differ this year from its regular annual layoff numbers post completion of employee appraisals.
“Post appraisals it is normal that the company asks some to leave based on their performance rating. It happens every year. This year it seems this aspect has got media attention and the percentage seems to be inflated,” a long-term employee of the company told IANS on the condition anonymity. “The managers have not been told to warn their team members about their impending exits,” he added.
“As part of our workforce management strategy, we conduct regular performance reviews to ensure we have the right employee skill sets necessary to meet client needs and achieve our business goals,” a Cognizant spokesperson said. “This process results in changes, including some employees transitioning out of the company. Any actions as the result of this process are performance-based and generally consistent with those we’ve made in previous years,” the spokesperson added.
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According to him, in any given year, the layoff numbers may bounce a percentage here or there, but this is part of standard practice. “At the same time, we continue to enhance our capabilities and hire for roles across all our practice areas in the company,” he said. The company’s workforce number stood at around 260,000 as on December 2016 with the majority of them in India.