Forward by Suresh
Satyam Computer on Friday announced holding back employees salaries for two months, even as rumours were rife that the company might lay off close to 15,000 workers in the coming days.
The offices of Satyam Computer were rife on Friday with the talks about forthcoming pink-slips at the company, which needs over Rs 500 crore (Rs 5 billion) every month just to meet its staff costs and has admitted that its cash position was not encouraging.
Employees said they have received an e-mail saying the company would hold back salaries for two months and asked staffers to bear with it.
However, the company spokesperson declined knowledge of any such e-mail and the issue would be looked into.
Even as the company spokesperson denied any layoff plans as of now, the rumours put the estimated job cuts at close to 15,000 by the end of this month.
Employees at the company said on condition of anonymity that they were hearing about imminent lay-off of people who were sitting on the bench or were close to completing their assigned projects. Besides, those being retained would be asked to take substantial salary cuts, they added.
At the same time, global HT consultancy firm Hay Group's Practice Leader Mark Thompson said that employees would suffer the most from the fraud.
Global HR consultancy firm HayGroup's Practice Leader Mark Thompson said: "Based on past experience . . . as with Enron, Worldcom and the Mirror Group, it is likely to be the employees who will suffer most from the fraud perpetrated by their bosses."
In early 2000, the collapse of energy trader Enron had left thousands of people out of work, another 8,500 had lost their jobs at accounting firm Arthur Andersen; and Tyco eliminated 15,000 employees in February.
Friday, January 9, 2009
Satyam staff not to get salaries for 2 months
Sunday, December 21, 2008
Companies likely to cut planned salary hikes
Forward by Divakar
New Delhi: Here is a bad news again for employees as many companies are likely to move away from the planned salary hikes in 2009. Indicating further reduction in work force, a recent Mercer survey says companies have conceded that workforce reduction would occur and hiring would become more selective and skill- based.
Of hundreds of human resource and finance professionals in India surveyed, 83 percent believe that their companies have planned to look closely at holding down the level of compensation increases and salary increases are likely to be lower than originally planned in 2009. But surprisingly, very few Indian companies surveyed are considering the more drastic step of freezing 2009 salaries at 2008 figures, with 19 percent of survey respondents saying that such a step is likely and 24 percent saying a salary freeze is somewhat likely.
Half of the Indian respondents say that their company is likely to reduce previously budgeted 2009 bonus payouts for performance in 2008. "It is now time to plug gaps where mediocre performance has been rewarded with high pay. Companies need to drive robust performance management and adopt a performance-based reward strategy. Employees should increasingly focus on acquiring new skills and developing an entrepreneurial mindset," opined Padma Ravichandar, Country Leader, Mercer Consulting (India).
The survey also focuses on human resources and says that in an environment in which they are asked to operate with reduced resources, HR continues to be considered core strategic to most companies' business. 27 percent of the respondents said their companies plan to maintain their investments to improve the overall HR services.
Thursday, December 18, 2008
New Openings and Layoff news from India - Dec 18th: Update
Forward by Divakar
TCS to honor hiring commitment, says no "pink slips"
Hyderabad - India's largest tech firm Tata Consultancy Services (TCS) said it would honor all employment offers made to college graduates and had no plans to hand over "pink slips" to current employees despite the ongoing global economic slowdown.
Accenture Profit Rises 26% on Outsourcing Demand
Accenture Ltd., the world’s second- largest technology-consulting firm, said first-quarter profit rose 26 percent after the company won more outsourcing contracts.
Telesoft sets up telecom lab in India
New Delhi: Telesoft Technologies, a UK based provider of reliable and cost-effective Telecommunications, Monitoring, Homeland Security and Intelligence solutions, has announced the opening of its telecom laboratory in India to assist integration and roll out of new partner products in the region. The lab has Telesoft's complete range of products allowing local customers to quickly integrate and test software applications and ensure network compatibility in real world conditions.
Stanford sees huge opportunity in India
Bangalore: "The transformation of 'call-centers' into 'data-centers' and then into 'data-center hubs' would become an eventuality in the years to come," says Balaji Prabhakar, Associate Professor, Dept. Electrical Engineering and Computer Science, Stanford University. Identifying India to be the next potential hub, the 10 eminent professors from Stanford provoked thoughts of techies on innovation and research developments at 'The Stanford Engineering Symposium - India', organized in association with SiliconIndia here today. Click here for complete story.
HCL Technologies completes Axon acquisition, becomes major global SAP player
New Delhi - Tech major HCL Technologies Ltd said it has successfully completed the acquisition of UK-based SAP consulting firm Axon Group Plc. (Axon) in a £441.1 million all-cash deal and has merged the HCL SAP practice under Axon leadership.
Layoffs in India
Hexaware - firing senior people
Source: post from a reader
Every friday evening between 5 pm to 6 pm at least 4 senior members get a call from HR manager. A resignation letter is kept ready in front and is asked to sign. Absolutely no notice given. Within a minute you lose all access and you are jobless. No room for gratitude… no respect for the hardwork earned from the employee. The act is like taking disciplinary action against the employee. Imagine…. if this is happening to someone who had spent more than 10 years who was treated like a king when his skill was requried for the growth of the company. The new CEO who has joined Hexaware from Wipro is axing people like he is cutting trees from his garden.
After Wipro, he has come to Hexaware that ranked 6th in Best employer survey - DQ in 2006. For him Employees are commodities not human resource with blood and Flesh.
Six months back there were 2 rounds of layoffs when the IT slow down started due to which there were heavy attrition and the company lost all good resources. To stop this further the top management wanted to spread a positive message and convened to the middle management that there will not be anymore layoffs. They were trying to kind of justify why it happened. However behind the screen they are axing people silently but cruelly
Motorola issues pink slips to 100 employees in India
Mumbai/New Delhi: US mobile phones maker Motorola is learned to have issued pink slips to at least 100 of its 4,000 employees in India.
Flurry of top-level exits in Satyam
NEW DELHI: Satyam Computer Services had seen a flurry of top-level exits in it’s IT and BPO businesses, including Satyam head of strategy Shailesh Shah, before the Maytas buyout decision was taken on Tuesday. In September, Venkatesh Roddam, the CEO of Satyam BPO, the wholly-owned subsidiary of Satyam, put in his papers.
