The recent reports of impending layoffs might have spread panic among IT employees, but the government feels the fears are unwarranted.
“I am not very sure if there is a large number of job cuts being done by our IT companies. I think there is some unnecessary panic about it,” said Aruna Sundararajan, the IT secretary who recently got the charge of telecom as well.
“It would be incorrect to assume that this year a large number of jobs have been shed by our It companies,” Sundararajan said addressing a Broadband India Forum gathering in Delhi.
According to her, most IT companies are engaged in structural changes driven by the business demands from their clients. “Large number of people are also re-skilled as per new requirements, but that goes unnoticed,” she said.
Sundararajan’s view gains significance amidst IT industry body Nasscom's recent prediction that over 50,000 tech workers may find themselves without a job in coming months.
“Layoffs in IT and BPO sectors are expected to continue this year with the pace of job creation slowing down,” Nasscom had cautioned in a statement.
The industry body has indicated that more job cuts will follow as companies are gradually moving towards automation and are looking at hiring skilled staff.
The government's viewpoint is that it is in touch with large IT firms. Sundararajan said this change in the industry have been under work for some years and that unnecessary panic is being created over it now.
