Over 20,000 techies lost jobs in 'silent layoffs’: AIITEU

According to the association, the actual numbers will be over 20,000. It is also said that companies force employees to resign because they can cut costs by avoiding severance packages.
The image is used for representational purposes only.
The image is used for representational purposes only.Express illustrations

BENGALURU: More than 20,000 employees in the IT/ITeS industry have lost their jobs in ‘silent’ layoffs in FY24 alone, according to the All India IT & ITeS Employees’ Union (AIITEU).

“This is just the tip of the iceberg and there are many other problems in the industry, including delayed onboarding, no payment for overtime, no local point of contact for employees working from hometown and the announcement of a failure of background verification after employees have joined the organisation,” General Secretary of AIITEU Saubhik Bhattacharya told TNIE.

According to the association, the actual numbers will be over 20,000. It is also said that companies force employees to resign because they can cut costs by avoiding severance packages.

Nascent Information Technology Employees Senate (NITES) president Harpreet Singh Saluja said that in the first five months of this year alone, about 2,000 to 3,000 employees have lost their jobs.

“Also, these silent layoffs happen across locations, cities and projects. For instance, if there are 80 members in a project, two to three people are fired, citing various reasons,” he said.

“In India’s IT industry, quiet firing nudges employees to leave on their own, dodging the stigma of layoffs. It’s also to avoid talented staff from seeking other jobs when layoffs are announced. This method, however, creates a demoralising work environment and undermines trust and respect, eroding the company’s ethical foundation. To avoid this, clear communication between companies and employees is crucial,” said Anup Menon, Vice President of CIEL HR Services.

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