Posted on: 05-02-08 07:49:40
http://www.rediff.com/money/2008/feb/05tcs.htm
"Coinciding with cost-cutting drive in Indian IT space amid fears of recession in the United States, the country's largest software exporter Tata Consultancy Services [Get Quote] on Tuesday said that about 500 members of its staff have 'voluntarily resigned' after an annual performance check.
The move comes close on the heels of global IT major IBM reportedly showing the door to a large number of its entry-level trainee programmers across major offices in the country on the grounds of performance. "
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My take on this:
At last there is some sanity in the crazy Indian IT market
This is not something new. Every year, people leave indian IT companies, and more people join. Attrition rate is still very low for these companies. I was surprised to see that TCS has more than 100,000 employees now. During my days with TCS, we were about 10,000 only, but even that number used to be considered a big number back then!
It appears that the US recession is showing effects on Indian outsourced jobs .
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Fido.
Quote:
Originally posted by ThinkingOne
This is not something new. Every year, people leave indian IT companies, and more people join. Attrition rate is still very low for these companies. I was surprised to see that TCS has more than 100,000 employees now. During my days with TCS, we were about 10,000 only, but even that number used to be considered a big number back then!
This has nothing to do with the normal attrition. Fido is right; projects are being cancelled due to the recession with the effect that bench strength at most outsourcers is increasing beyond a sustainable level.
My friends told me the bigger companies were trying not to lay off people because they didn't want to take a hit on their reputation.
The joke at a company I worked for was that if you walked past their gate, you'd be hired! Looks like times are changing...
