Due to the impact of COVID, 11000 employees resigned from top Indian companies in the last 90 days. This is the first in recent times when the employee count of these top companies reduce drastically
Although, these companies are hopeful of hiring in the upcoming days
In the April-June quarter, India’s largest software company TCS lost 4786 employees. In the same quarter, 3138 employees resign from Infosys. While the numbers at Wipro and Tech Mahindra are at 1082 and 1820 respectively.
A cumulative of around 11,000 employees resign from all these companies. Mr.Pravin Rao, the COO of Infosys says that currently the company has stopped hiring but it already has recruited around 5000 laterals around the world.
All these new recruits are onboarded remotely. Infosys also says there are plans to bring around 20,000 freshers this year.
Meanwhile, at Wipro, CFO says that the company has enough talent for its projects. He also says that the company always looks for revenue and if there is a need to hire new talent, the company is going to hire
On Tuesday, the Maharashtra government launches portal for hiring skilled workers, semi-skilled workers, and unskilled workers. There is a fantastic response to this Maha Job Portal on Day 1 from across the state.
According to the data, around 13,300 job seekers and 147 entrepreneurs signed up for this event on Day 1. This website helps the job seekers to apply for various jobs across 17 sectors via the website. Once after uploading their details, anyone can apply for jobs
Here are the steps to register:
1. Open the website https://mahajobs.maharashtra.gov.in/ 2. Change the language to English if you prefer English, or use the default 3. Select the Job Seeker- Registration option 4. Enter the necessary details 5. Select ‘Yes’ if you have a domicile certificate of the state(Maharashtra) 6. Once you fill these details and proceed, you will receive an OTP on the registered mobile and email 7. Submit those respective details to complete the OTP verification 8. After that, enter a new password and click on Submit 9. ‘Registration successful’ screen appears and with this, the registration is completed. 10. Once it is done, use your details to sign in to the website
1. Once you log in with your name, contact number/email-id you can create your profile 2. Upload your photograph 3. After that, update your resume/CV in the biodata section 4. Once you finish the uploading, enter other details as well 5. After that, select the appropriate option in the willingness to relocate dropdown
Here are the steps to search for jobs on the website
1. Go to ‘Search job’ section 2. And then select the necessary filters and apply 3. Once the results are refined according to the filters, click on the company’s name/view more 4. Apply for the jobs 5. Once you apply, you track the job in your applied jobs section with your tracking ID
Maharashtra is currently facing delays to complete its infrastructure projects due to a lack of laborers. To control this, the Maharashtra government plans to conduct online job fair next week
Due to the shortage of laborers, MMRDA (Maharashtra Metropolitan Region Development Authority) is having project delays of around 5-6 months. The state government’s skill development ministry decides to have an online jobs fair named “Pandit Deendayal Upadhyay Online Job Fair”
This job fair will be conducted in two phases between July 6th and July 12th. The previous month, MMRDA announced vacancies of 16,726 workers for several projects, the development body has undertaken. This comes after the CM of the state Mr. Uddhav Thackeray asks the sons of the soil to come forward and help Maharashtra become ‘Aatmanirbhar’
On June 15, the agency issued an advertisement regarding the need for both skilled and unskilled workers. MMRDA is happy with the response to the advertisements, as several workers are interested in this, across the state.
Also, the contractors of various projects are planning to get workers from other states as well. Although, MMRDA did not disclose the total number of local workers who arrived in the city after the advertisement.
During the first phase of the job fair, 2923 laborers are to be required to fill the positions. This will be conducted at the Skill Development, Employment, and Entrepreneurship Guidance Center of Thane region between July 6 and 8
The second phase will be conducted in Mumbai city and suburban regions between July 8 and 12.
SBI plans to hire 2000 people in the next 6 months to fill junior to mid-level executives. The banks look to capitalize on rural lending and fee-based businesses. The current peers of SBI are reluctant to grow in these areas.
SBI plans to create a new microfinance vertical. Employees with experience in rural and agricultural sectors will be appointed in that vertical. These appointments will be in sales and call centers and credit card businesses
An SBI official says that alongside the usual recruiting, the bank plans to add 400 more people in its newly formed financial inclusion vertical. He adds that these new people will have an agricultural and rural banking background.
At the beginning of June, SBI creates a new vertical just to focus on financial inclusion and micro-markets (FI&MM). Earlier, a few months ago, SBI lists SBI cards. There are plans to enhance this with the new growth plans. 1500 new people will be added to the sales and call center verticals
Some of them are mid-level employees. Junior people will be
working more on the street sales with salary ranging from Rs.15,000 to
Ideal candidates with MBA and graduation can apply for these roles. Also, candidates with only plus-two certification can apply, provided they have enough experience in this field
The previous year, SBI recruits 2000 officers and 8000 clerks across the country. Some of them are still set to join the bank.
How did the bank fare in the times of Corona?
Looks like the bank is not affected that much by the impact of Corona and actually showed improvement. In the Jan-Mar FY20 quarter, the bank reports a 71% reduction in the pre-tax profit, which is due to bad loan provisioning.
One of the world’s largest consulting firms Accenture says that subcontractor replacement will be the focus of new hirings. Accenture is looking to control the hiring and stop some promotions due to the coronavirus impact
The CEO of Accenture Julie Sweet says during an earnings call that the new hiring will focus on subcontractor replacement. Also, for some of the new joining employees, the starting dates are pushed further.
The company also looks to retain existing employees in areas like technology and cloud services. Since the beginning of March, Accenture retains around 37,000 employees on this basis.
Ms. Sweet said that the company is looking to reduce costs. As the company moves forward they will take decisions like the annual performance process. To reduce costs Accenture says Subcontractor replacement will be the focus of new hirings at Accenture
Also, the company moves the employees from strategy and consulting divisions to improve their operations and help public sector clients.
The company also announces an increase in its full-year earnings forecast. The adjusted third-quarter profit per share is $1.90. This is higher than the predicted amount by 22 analysts belonging to Bloomberg. The shares are increased by 5.9% with overall value at $213.71. This is the biggest increase since April 6
With the widespread of coronavirus, there seems a lot of disruption in the software industry. Post lockdown, more companies are looking to hire people for temporary positions. Are temporary jobs on the rise?
Most of the companies including small and medium-sized firms are looking to hire temporary employees. This is to handle the costs. The demand for temporary jobs has increased by three-four percent. HR consultants expect this trend to continue for 12-18 more months. Companies will hire for temporary positions.
At any other time, these companies might lookout to hire employees for permanent positions. But now, in 2020, the companies can afford only can afford to hire temp employees.
Which jobs might see an increase?
The demand for job positions like CRM, Data mining, artificial intelligence, remote cyber management has increased since past few months. Especially for filling the temporary job positions. Most of the companies are looking to hire on project basis. This is the only option affordable by the companies if they are to hire new talent
Also hiring for temporary positions will not cost much in the longer term which lets the core teams of the company focus on product development instead of budgeting the costs.
The companies looking to hire on a temporary basis are relying on temporary hiring agencies. With the help of these hiring agencies, companies are able to support their upcoming projects, meet seasonal requirements, and are able to reduce the workforce during the slow phases accordingly. This all made temporary jobs rise in demand.
The regional director at Michael Page, Anshul Lodha said that there is a clear growth in contractual hiring. Especially sectors like IT, Legal, Finance. They are hiring temporary employees for a period of 6-12 months. Small-sized and medium-sized firms follow this trend. The large-scale firms cannot work with temporary hires.
For the last few months, most of the company’s clients are instructing them to hire a temporary CTO and also a temporary legal team for 6-12 months, Mr. Anshul Lodha added.
The companies are also planning to hire temporary medical professionals to provide psychological support to their employees. Especially sectors like banking, financial services, IT, and back-end operations are especially looking out to hire the medical team.
Was it observed before?
This trend was observed back in 2008-09 period. But for the bottom end of the work pyramid. Now, the companies are looking to add more towards the senior members in the firms.
The widespread of COVID-19 has impacted the economy a lot. Also, every other industry has suffered due to this virus. Although during this period, online education has seen a lot of interest with many schools, universities, colleges are adapting to the new online form of education. This has directly provided a boost to the ed-tech firms in the country. As a result, these ed-tech firms are hiring
Currently, there are around 12,000 vacant positions of the permanent jobs available with the ed-tech industry. Some of the top companies that are hiring are Byju’s, Unacademy, Whitehat jr, Vedantu, and SimpliLearn. Also, there are several top executive search consultants like ManpowerGroup, Kelly Services, and Xpheno. Additional to this, there are around 90,000 contractual jobs available with these firms.
Analysts say that this ed-tech industry has benefitted a lot from the lockdown and also factors like increase in the internet speeds, smartphone usage has contributed to the growth of the industry.
Some of the top roles include product development, instructors, content writers, UI/UX/ app developers, sales professionals, and technicians. These companies are also looking for professionals with industry experience in sales, finance, and product. Salaries are ranging from Rs.10 lakh for a fresher to Rs.50-80 lakhs(including stock options) for experienced individuals
The chief executive of Vedantu has said that the company has seen a surge in the number of users to their services since enabling it as free access to the users. The company’s revenue has increased by 80% in the meantime. With this, the company is looking to hire 1500 employees
Whitehat Jr. is also planning to hire 1000-1500 employees along with 2000 freelance instructors every month. However, the CEO has said that his recent increase in the revenue is caused mostly by the expansion of the company’s business in the USA.
Byju’s also has been hiring 1000 employees per month since Janaury. SimpliLearn and Unacademy are also looking to increase their employee abse.
The top IT services providers in the country have hired fewer people over the past few years in comparison to their revenue growth across the same timeline. This indicates that companies are adopting various automation and digital technologies.
Companies like TCS, Infosys, Tech Mahindra, HCL Technologies, Wipro have increased their growth over the past few years. This has been achieved by adopting the artificial intelligence technologies, automation of tools and digital services
During the same period, the businesses of core services like application development, maintenance, and infrastructure have fallen. Analysts are saying that this can be due to using automation and other technologies for the tasks which are at the bottom of the pyramid.
India’s largest software service provider, TCS currently employs 4,48,464 employees and has seen a compounded growth of 7% in hiring. In relation, the company’s revenue has grown by 10.64% every year. Meanwhile, Infosys’s revenue growth is slightly higher than TCS at 11.23% since the financial year 2015. The company has seen an increase in hiring by 6.59% for the past 5 years
The highest disparity between revenue and hiring among the top IT service providers in the country is observed at TechMahindra with revenue growth at 10.26% and hiring is at 4% each year since FY15
Since the FY15, Wipro has seen a 3% increase in hiring every year, and the revenue of the company has grown by 5.38% for the same period. HCL is the one that has performed well in terms of revenue for the last 5 financial years. The company’s revenue has been increased by 13.77% while the hiring has seen an increase of 7.23%. In the last five years, the company has recruited around 47,000 employees which increase the overall employee count to 150,423
However, at Tech Mahindra there has been a great difference between revenue and hiring for the last 5 years. The revenue of Tech Mahindra grew at 10.26% while new employees are recruited at a rate of 4% each year. Analysts predict that this great disparity at Tech Mahindra is due to the increased number of subcontractor staff deployed in every project.
Last week during the filing to the US Securities and Exchange Commission, Infosys announced that the use of automation tools and related technologies have cut down the costs for the company. Also, this has led to the involvement of manual effort in the projects.
Infosys’s senior management will undergo a restructuring with Infosys looking to offload managers who are working at the senior level in the company. This accounts for around 30,000 employees. It has been reported that this is being done to recover from the impact of coronavirus. The list of job profiles affected due to this are delivery managers, associate vice presidents, senior vice presidents, and more
A recent report from TOI has stated that the senior management officials who are working at levels 6,7,8 will come under this new plan. Infosys plans to remove the headcount by 15% from JL7 and above. This plan will affect nearly 13,000 officials
For Infosys and other IT giants, the employee costs, wages, campus placement drives will contribute to more than half of the operational costs of an employee. Also, this economic slowdown which has been caused due to the coronavirus has led to the termination of many projects the company has taken. This has also led to a reduction in profits for the company.
The company also said that neither there are no plans to downsize the number of employees nor do they have a predefined percentage of exits in the company. Also, it was told that as Infosys is a performance-driven company, some involuntary action needs to be taken to reduce the costs.
The current hierarchy in the company is that delivery managers report to senior delivery managers, who in turn report to the delivery head. The overall delivery team again reports to the service head. This had led to an increase in the number of managers at the senior level.
Hence the company is looking to trim down the number of managers. The company is also expecting that this will accelerate the decision-making process and reduce the operational costs per employee. The salaries at the senior level are very high with most of the senior-level managers earn Rs.35-40 lakh. The VP, SVP officials earn higher than this.
Also, the company had said that the annual remuneration for the executive employees at the senior level has been increased by 25% in FY20. In the latest earnings call, the company has announced that all the hiring, promotions, appraisals have been frozen until further notice and the company calls this a ‘no-regret’ move