IT Companies can lay off 30,000 to 40,000 jobs

Tue Nov 19 2019 12:22:07 GMT+0530 (IST)

IT industry's veteran, former CEO of Infosys, TV Mohandas Pai said on Monday that IT companies may layoff 30,000 to 40,000 employees as growth slows down.



IT industry's veteran, former CEO of Infosys, TV Mohandas Pai called the retrenchment a 'normal occurrence of the industry once in five years'.

Like all sectors in the West, when a sector matures in India, it has middle-class employees who do not contribute as much as their wages. Promotions are okay when companies are growing fast but when it slows down, people getting fat salaries will aggregate at the higher level, prompting companies to periodically reset their pyramids, and shedding people, he said.