Report: Cognizant To Lay Off 6,000 Employees

BENGALURU: cognizant seems set to cut at least 6,000 jobs, that represents 2.3% of its total workforce. Since as it struggles with growth in an IT environment that’s fast shifting towards new digital services. The variable payout to staff for 2016, too is predicted to be adversely affected according to sources familiar with the matter.

Report: Cognizant To Lay Off 6,000 Employees

Cognizant

Cognizant

The layoffs are seemingly to be more this year than the routine annual exercise that weeds out the bottom 1 %of the workforce for non-performance as determined by the annual appraisal process that ends in March. Cognizant is said to be looking to cut roles that became redundant due to the impact of automation on lower-end IT jobs. Last year, the layoffs were about 1-2% whereas 2 years ago. It had been about 1%. Cognizant had 2,60,200 employees globally as on december 31, with 1,88,000, or 72%, based in India.

It was not immediately clear how many jobs in the country or that roles would be made redundant.

Cognizant

Cognizant

“As a part of our workforce management strategy, we conduct regular performance reviews to make sure. We’ve the right employee skill sets necessary to satisfy client needs and succeed our business goals. This method results in changes, including some employees transitioning out of the company,” a cognizant spokesperson said in an emailed response to TOI.

Cognizant

Cognizant

The company faced one of its most difficult times last year. Hence with full-year growth down to single digits, 8.6%, after a few years of strong double-digit industry leading growth.

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