Cognizant To Layoff 6000 Employees This Year
IT major Cognizant Technology Solutions shows the door to over 6,000 employees or 2-3 percent of the total workforce of the company after an annual appraisal exercise of the company. The layoff is the consequence of underperformance and skill mismatch, said sources.
As on December 2016 quarter, the US based company’s employees globally stood at around 260,000, with over 75 percent of them in India, as experts believe the company struggles to survive in an IT world that’s fast moving towards the digital space.
“Post appraisals it is normal that the company asks some to leave based on their performance rating. It happens every year. This year it seems this aspect has got media attention and the percentage seems to be inflated,” IANS quoted a source as saying. “The managers have not been told to warn their team members about their impending exits,” he added.
In 2015 the company laid off one percent of its total employees, followed by two percent in 2016. This year’s lay-off numbers will be ascertained once the appraisal is completed by March 31, sources familiar with the matter said, adding that All the companies across the industry is seeing such lay-offs, they added.
“Any actions as the result of this process are performance-based and generally consistent with those we have made in the previous years. In any given year, the numbers may bounce a percentage here or there, but this is part of our standard practice. At the same time, we continue to enhance our capabilities and hire for roles across all our practice areas in the company,” a spokesperson for Cognizant said in a statement.
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