Infosys to cut nearly 10,000 mid, senior level jobs
05 Nov 2019
Infosys, India's second-biggest information technology service provider, is laying off employees in the mid and senior level to reduce employee cost and flatten the top-heavy organisational structure.
The move comes close on the heels of similar job cuts at Cognizant and Capgemni.
Bengaluru-based Infosys has 30,092 employees in the middle management level, which includes employees in the JL6, JL7 and JL8 bands, which it plans to reduce by 10 per cent.
This will involve a reduction of around 2,200 employees in the senior management level.
Reports citing sources said the company also planned to lay off 2 to 5 per cent of the workforce at the associate (JL3 and below) and middle (JL4 and 5) levels. With 86,558 and 1.1 lakh employees at the associate and middle bands, respectively, it would mean laying off 4,000-10,000 people.
Infosys would be laying off as many 50 or 2.5 per cent of its 971 senior executives in the ranks of assistant vice-presidents, vice presidents, senior vice-presidents and executive vice-presidents.
Reports say that while layoffs are common in IT services companies the pattern of lay off at Infosys is different this time, considering also the numbers involved – it is not based on performance, but looks like a cost reduction exercise.
This is happening across the industry. It was first reported at Cognizant, And, according to reports, Capgemini has cut workforce by 500 in India as customers scale back projects.
Capgemini has 1.08 lakh employees in India, more than half of its global strength. The company says it is part of a constant process of reskilling, reassignments and arrivals.