HOME > BUSINESS > INFORMATION TECH > Who’s responsible for IT job losses? Ask this recruiter

Who’s responsible for IT job losses? Ask this recruiter

It’s become something of a fashion to complain about job losses in India’s big IT services firms.

Companies like Infosys Ltd, Tata Consultancy Services, Wipro and Cognizant employ over a million people in the country, and have been letting go off tens of thousands this year as they grapple with slowing growth and changing business models.

This has even led to calls by IT employees to organize themselves into trade unions and start negotiating with company management.

But whose fault is it, really?

Is it the fault of short-sighted company managements, who bet on wrong technologies and business practices and pushed their employees in the wrong direction?

Or is the fault of the employees who are too lazy to keep their skills up to date in a fast-moving sector like IT?

K Krishna Kumar, the CEO of Kreatio — a Bangalore-based media-tech start-up has interviewed “fifty to sixty” mid-level IT workers for his company in the last three to four months.

In a series of tweets, Krishna Kumar shares his insights into why techies in India’s IT capital are looking to move, and what their strengths are, and what he believes is keeping them down.

Broadly, Krishna Kumar zeroes in on one key factor : Only a small part of the work done by an average mid-level ‘techie’ actually involves any technical work, while most of his or her time is spent in meetings and calls.

As software automates many of these processes, these ‘organizers’ face the axe. Worse, because they’ve slowly moved away from their technical expertise, they find it very difficult to find other jobs.

“The mid level job loss story is real. Many said their jobs are are on the verge. Many have been asked to take up new roles,” says Kumar.

“Last year, consultants were sceptical about getting us candidates from big names in Indian IT. We were too small for them. This year, we are getting candidates from big names. It is not a flood yet, but there is a significant uptick in numbers.”

To probe the reason why these mid-level employees are looking for a change, Kumar says he asked them about their daily routine.

“The answers are almost always the same and the biggest clue to the current joblosses is in those answers. ‘Our mornings go in meetings and our evenings are for generating reports. In between there are calls.’

“What do you do after these meetings and standups? The answers are vague. The means have become the end it seems.

“The minute they become team leader, they start delegating the real work and assume the role of reporting and coordinating. As tasks n tracking get automated, need for people to generate reports n call meetings disappears. This is what is happening,” he added.

So, does he blame the employers or the employees?

Both, but given that the it’s the employee’s career, of course, the primary responsibility lies with the employee.

“Every industry goes through technology updates. Worker reskilling and retraining are par for the course. This time around, this looks more like get-rid-of-the-bloated-bureaucracy opportunity for Indian IT,” he says.

But it’s not just the companies who are reacting in a preset mode.

“The people affected are themselves not ready to accept reality and acquire new skills or adjust to it. One candidate we interviewed, whose team was shrinking and job was under pressure wanted a 50% hike if he were to join us.”

When Kumar asked him why, the candidate said: “Some are getting zero increment. But some must be getting 100%. So industry average is 50% and that is what I want.”

“I am not joking. These are his exact words,” says the CEO. “I just cannot forget them. He was better than most, but..”

LACK OF ADAPTABILITY

The key reason behind today’s situation, Kumar says, is an unwillingness to learn new skills and change their routines.

“One (candidate) was in old tech. Employer was ready to accommodate in another role. He was hunting jobs, preferably using same ancient tech. One worked in a niche area and got zero increment. (There are) only two major players in this. He’s not even considering a new skill.”

In the end, says Kumar, he hopes that predictions of mega job losses in the sector do not turn out to be true.

“The IT job loss is real and it is something we brought upon ourselves in our quest to become managers than doers. As IT organizations grew, overheads were merrily created. When few started feeling the pinch they began shedding over heads,” he says.

Follow ULTRA.news
Wipro opens Artificial Intelligence research facility in Israel University IT and outsourcing services provider Wipro said it will use students at Israel's largest university to jointly conduct research into artificial intelligence.The company inked an agreement with Tel Aviv University, Israel's largest institution of higher learning which is home ...
Vishal Sikka says Infosys trying to retrain employees displaced by automation Infosys Chief Executive Officer Vishal Sikka said his company was not overwhelmed by the problem of automation and that it is trying to retrain its staff displaced by automation.Sikka was responding to a question on 'what happened to the 11,000 employees' displaced by automat...
IT woes to bring down real estate rentals in Bangalore, IT hubs With IT sector witnessing subdued sentiment amidst pressure on hiring and annual pay rise for employees, the country's software and services hubs such as Bengaluru, Hyderabad, Chennai, Pune and Noida-Gurgaon in NCR are expected to see 10-20 per cent reduction in the housing rents...
Cognizant says will layoff employees, close facilities this year Cognizant, one of the largest employers in India, said it will let go off some of its employees and shut down some of its facilities as part of its ongoing shift away from traditional outsourcing to 'digital transformation work'.The company said it is 'accelerating its shift...
TCS opens drone facility in the US Tata Consultancy Services said it has opened its first research lab for drones in the US at its Seven Hills Park Innovation Center located in Cincinnati, Ohio.The lab will address the rapidly expanding demand for unmanned aerial vehicles and business Solutions across industr...
Cognizant layoffs may be heading to TN labour courts as FITE preps petitions Forum for IT Employees or FITE -- an organization that claims to speak for ordinary IT workers -- said a group of employees of Cognizant Technology Solutions will approach the office of Labour Commissioner of Chennai today."Affected CTS employees file petition to the Labour ...
Larsen & Toubro Infotech changes to ‘LTI’ as it seeks an independent identity Larsen & Toubro Infotech, which started out as a unit of construction major L&T, has rebranded itself, dropping its parent's name from its own and projecting a more independent brand.The new logo reads 'LTI' in blue, bold letters with the tagline 'Lets Solve', and the new br...
Wipro rebrands itself, reveals new logo Outsourced services provider Wipro Ltd said it was undergoing a rebranding to reflect its evolving business."The new brand identity signifies a higher level of engagement and brand permission that helps clients leverage Wipro’s expertise to address their business requirement...
Bots cut Wipro employee strength by 12,000 A NASA RobotA pioneering artificial intelligence program that started getting deployed around mid-2016 has helped Wipro Ltd reduce its employee numbers by 12,000 people, the company said in its recent quarterly update."The HOLMES platform generated productivity worth ove...
Wipro refuses to reveal how many employees are being laid off Wipro Ltd, one of India's top employers, refused to confirm the exact number of people that it was laying off as part of its annual appraisal process."It is part of the internal appraisal process," company officials said, refusing to go into further details.The media ha...
Indian IT industry facing layoffs as conditions worsen, warns Assocham Trump unveiled his 'Buy American, Hire American' program yesterdayIndian IT companies are bound to see "some laying off" of their work force back home due to various negative forces impacting the industry, Assocham -- an association of various industries -- warned."With ...
After Cognizant, Wipro employees on edge as annual appraisal starts India IT growth: Nasscom Strategic Review 2016Employees of Wipro Ltd are nervous as the information technology giant has kicked off its annual appraisal process this month.The first of the several reviews, known as L1 or level 1, has been completed, and at least some emp...
WATCH LIVE – Moving towards a less visa-dependent model : TCS New TCS CEO Rajesh GopinathanTata Consultancy Services has reported Q4 revenue of Rs 29,642 cr, a decline of 0.3%, and said his company will wait and see about new US visa regulations that are scheduled to come out today.NEW VISA RULESOn new visa regulations expected...
Govt likely to intensify efforts to create All India Judicial Service High Court of Karnataka, DharwadDespite setbacks and opposition from both state governments and the judiciary, the central government is not ready to give up the proposal to set up an all India service for recruitment of judges modeled on the Indian Administrative Service an...
We expected better numbers: Vishal Sikka of Infosys Infosys Chief Executive Officer Vishal Sikka said the company's performance in the January-March period was below his expectations for various reasons."It is a challenging performance," Sikka said in a post-result press conference. "We were expecting a higher number," sai...
Infosys guides for FY18 growth of 6.5-8.5% in constant currency Infosys Q4 resultsInfosys Ltd said it expects its revenue to grow by a modest 6.5-8.5%, stripped off the impact of currency movements, in the year that started this month.The street was expecting a guidance of 7-9% growth.The guidance is well below the traditional gu...
FITE urges Cognizant employees not to submit resignations FITE rose to prominence protesting layoffs at TCSForum for IT Employees or FITE, a web-based IT workers' collective, has urged employees of Cognizant Technology Solutions not to resign voluntarily if asked by the company's human resources department."If the employee resi...
DoT lifts freeze over BSNL’s 2016 JE exam, document verification starts Students attend an examThe Department of Telecom has lifted its freeze over the recruitment of 2,700 junior engineers into Bharat Sanchar Nigam Ltd, India's state-owned telecom operator.The results of the recruitment exam, conducted in September last year, were put on ho...
Fitch withdraws ratings on Rolta India Fitch Ratings has withdrawn its ratings on India-based Rolta India Limited, after the Indian IT company said it was no longer interested in continuing with the arrangement."Fitch is withdrawing the ratings as Rolta has chosen to stop participating in the rating process. T...
Wipro buys InfoSERVER, a Brazilian IT outsourcing company Weeks after acquiring Appirio, Wipro is at it again. This time, it is buying InfoSERVER, an IT services provider focused on the Brazilian market, for $8.7 Mn (Rs 60 cr). Two-decade old InfoSERVER provides custom application development and software deployment services, th...
Tech Mahindra opens robotics, AI and digital services center in Dublin IT services provider Tech Mahindra opened a new facility in Dublin, Ireland to focus on emerging technologies such as Robotics and Automation, Business Analytics, Cloud Infrastructure and Digital Services.The new centre would employ around 150 engineers over the next three ye...
TRUMP THREAT: TCS not worried, says we’re not the villains source: NasscomTata Consultancy Services, the largest Indian-owned outsourcing company, said it is able to manage with 75% less new visas this year as it has changed its business and recruitment models in recent years. It also said that outsourcing was key to protecting US j...
N Ganapathy Subramaniam appointed new TCS COO COO N Ganapathy SubramanianTata Consultancy Services said it made two appointments in the wake of the departure of Chief Executive officer N Chandrasekaran: N. Ganapathy Subramaniam, elder brother of outgoing CEO Chandrasekaran, has been appointed as the chief operating offi...
BSNL JE 2016 recruitment frozen after complaints to DoT – CMD Shrivastava BSNL Chairman and Managing Director Anupam Shrivastava said the recruitment of Junior Engineers (JEs) into the telecom company has been frozen by the Department of Telecom on the basis of complaints."It is being held up by the Department of Telecom... due to complaints," Shri...
Industry welcomes move to include made-ups in apparel package SIMA has welcomed the move include made-ups in the apparel packageThe industry has welcomed the move by the government led by Narendra Modi to extend support to the made-ups export industry and said it would help the sector break out of its current slump.The cabinet had ...