Tech Layoffs: Indian IT Sector Hit by Silent Layoffs With Employee Asked To Choose Voluntary Resignation or Termination, Affects Over 20,000 People, Says Report
Tech layoffs have impacted global IT sector but in Indian IT sector, over 20,000 people were affected by silent layoffs. According to a report, some employees were given choice to voluntarily resign or get terminated.
Mumbai, May 28: Tech layoffs worldwide have been concerning to many IT employees. The wave of layoffs in 2024 affected thousands of employees from various tech companies such as Google, Apple, Meta, Amazon, Paytm, and others like Elon Musk's Tesla. In India, the layoffs have also impacted significantly working IT professionals. According to a report, over 20,000 employees were affected due to silent layoffs implemented in the IT sector in India.
Moneycontrol reported that the data shared by the All India IT and ITes Employees' Union showed that over 20,000 IT professionals were affected amid the silent tech layoffs. The report mentioned an incident with a 31-year-old techie named Akash, who received an email from the company's manager and HR executive for a virtual meeting that was 15-20 minutes long. Paytm Layoffs: Fintech Major To Lay Off 5,000 to 6,300 Employees, Plans To Use AI To Reduce Costs, Says Report.
The report mentioned that Akash was given two choices by his cloud analytics company and data company, Teradata. The choices were - termination with a lower payout or voluntary resignation with four months of salary. Since it was difficult for Akash to leave the company either way, he had to decide only during the virtual meeting. He told Moneycontrol that he asked the manager and HR executive to allow him some time to determine, and he was told to inform during the conference only. Speaking to his cousin, he decided to choose voluntary resignation, said the report.
The report highlighted that after appearing for 20-25 interviews four to five months after his resignation from Teradata, Akash did not land any new job. He said it was tough to land a new job in the tech sector due to the current market situation, especially when there are few chances of salary negotiations. He added that he depended on his parents as his severance pay funds were drying up in expenditure. Foursquare Layoffs: US-Based Tech Company Cuts 25% of Its Workforce To Streamline Its Operations and Achieve Financial Sustainability.
Another incident involved Cognizant's Sriram, who was asked to resign because the company could not find any other projects for him. In recent months, the report said employees were asked to voluntarily resign in silent layoffs at Cognizant. It said that Akash and Sriram were only two such people out of thousands between 2023 and 2024.
(The above story first appeared on LatestLY on May 28, 2024 12:37 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).