IT cos ask recruitment agencies to stop hiring

BANGALORE/NEW DELHI: The banking, financial services and insurance (BFSI) segment is the largest outsourcing vertical for Indian technology players.

The space contributes up to 40% of the revenues for some top IT firms. The industry employs around 3,50,000 people in the BFSI space of which the top six players alone account for 180,000 jobs. The domain accounted for $10 billion of the total $32 billion revenues the industry posted during the last fiscal.

Combine these facts with the crisis in Wall Street, and what we have is a sombre picture of things to come. If market estimates are anything to go by, what’s happening in the global financial markets can result in the loss of as many as 20,000 to 25,000 jobs in India.

That means, the likes of Cognizant, TCS, Infosys, HCL, Wipro and Satyam will announce huge lay-offs over the next couple of quarters. TOI had reported last week that Satyam was already planning a substantial workforce reduction.

Source : ET