The year 2023 started with the layoff note. The major IT companies have laid off employees, slowing the hiring process, and companies are cutting down the benefits of employees.
Infosys has recently announced the results for the fourth quarter the company witnessed a 40% plus fall in net hiring during the fiscal year 2023 vs fiscal year 2022.
In the full year (FY2023) the net hiring number at Infosys stood at 29,219. This is down by 46% from the 54,396 employees hired by Infosys over the whole of FY2022.
Additionally, Infosys reduced its headcount by 3,611 employees on a net basis during the quarter that ended in March, with the overall headcount at 343,234.
TCS
Tata Consultancy Services (TCS) reported its consolidated financial results according to Ind AS and IFRS, for the quarter and full year ending March 31, 2023.
The company added 22,600 employees during FY23. There has been a steep decrease as compared to its net addition in FY22. In the previous year, it had added 103,546 employees on a net basis.
The hiring is down by 78%. This is the company’s lowest net headcount addition since FY15 when it added 19,000 employees on a net basis during the year.
Layoffs in 2023
According to trueup, Tech layoffs conducted to date this year currently exceed the total number of tech layoffs in 2022, according to the data in the tracker.
- January: 108,118 employees laid off
- February: 50,620 employees laid off
- March: 61,471 employees laid off
So far in 2023, there have been 776 layoffs at tech companies with 224,953 people impacted (2,163 people per day). In 2022, there were 1,557 layoffs at tech companies and 243,318 people impacted (667 people per day).
Apparently, Major tech companies are laying off employees exponentially due to economic uncertainties. The move of layoffs is part of a larger trend of tech companies cutting jobs and slowing hiring as investors become increasingly fearful of a recession. Tech companies have either frozen the hiring process or laid off many employees.
Recently, the consulting giant Accenture shocked the industry by announcing plans to trim its workforce by 19,000 over the next 18 months. Around 40% of Accenture employees are based in India and around 7,000 jobs will be eliminated in the country.
Amazon sacked 27,000 employees in the last three months. Recently, the company announced to layoff of 9000 employees. The major companies that laid off employees include Infosys, Amazon, Google, Byju’s, Wipro, and Salesforce laid off a maximum number of workers globally.
Reduction in Employee Benefits
Meta has declined facilities including a lack of snacks and cereals at the office, as well as the elimination of free food services and other benefits. However, Meta is not the only company that has reduced the benefits for employees.
Google employees outlining the elimination or reduction of several perks, including some of the company’s micro kitchens that provide employees with free snacks like cereal, espresso, and seltzer water.
