AFTER COGNIZANT, ANOTHER IT GIANT TO LAYOFF 'THOUSANDS' OF EMPLOYEES! - REPORT

Amid this COVID-19 crisis, few information technology (IT) industries are laying off thousands of employees across the globe. This sudden and drastic decision is being taken on the grounds of non-performance, lack of projects and rightsizing surplus staff due to an uncertain business environment.

Due to layoffs, most of the leading global IT companies have gradually reduced their headcount in the last two years as newer challenges have emerged recently.

As per a LiveMint report, International Business Machines (IBM) Corp. is laying off about 2,000 employees globally. This movie is taken up as the company reshapes its business. 

This layoff is going to impact India employees? it is not clear but an estimated few hundred would be impacted with this move. Meanwhile, IBM didn’t respond to queries on India impact. So far, India accounts for about one-third of IBM’s global headcount of over 350,000 employees, LiveMint further reports.  

Few other companies who have also been on the laying list are- Cognizant Technology Solutions. They recently laid off thousands of employees in India, who were on bench. Employees on bench are considered “non-billable" resources as their cost is not billed to any client. To which, a Cognizant spokesperson said the layoffs are likely to be performance-based exits. 

Even, Accenture is in the process of laying up to 900 jobs in the UK to reduce costs. Meanwhile, companies like Tata Consultancy Services (TCS), Infosys Ltd, Wipro Ltd, and HCL Technologies Ltd have not taken up any such massive layoff exercise but it can be inferred on performance-based exits if it ever happens.