India’s $250 billion information technology (IT) sector is poised to witness the worst cases of mass layoffs this year with seven of the biggest companies planning drastic measures to cut costs. Rise in automation, failure to keep up with emerging technologies, and US Visa reforms have been touted as the reasons why IT firms like Infosys, Wipro, Tech Mahindra, HCL, Cognizant, DXC Technology and CapGemini are planning to collectively let go of 56,000 employees. This number is vastly greater than anything the Indian IT sector, which is no stranger to mass firings, has ever witnessed. For comparison, here are the biggest IT layoffs in India in recent times:
With revenue growth plummeting, losses sky-rocketing, and their valuation being slashed, e-commerce startup Snapdeal reportedly fired over 2,300 employees, which is close to 30 percent of the workforce, in March 2017.