Wipro Layoffs 2024 - Which IT Employees Should Worry? | Tech Layoffs & Future of IT Industry India
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- Опубліковано 25 чер 2024
- News Article on Wipro layoffs for your reference:
economictimes.indiatimes.com/...
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Wipro Layoffs 2024 present a grim picture for IT Employees. The future of IT industry in India is determined by how well IT companies like TCS, Wipro, and Infosys perform in subsequent quarters. The problems faced by these IT service companies can be related to their own poor performance, or poor performance of their employees, or lastly the bad economic or business conditions that are beyond anybody's control.
Trying to decipher what among these is responsible for these latest Wipro layoffs can be difficult. However, if we look at some of the recent acquisitions made by Wipro we may get the answer. I believe the Wipro latest news of 100s of layoffs is limited to the business decisions and financial problems present within Wipro.
This is because Wipro has been struggling with its net profit margins. What is net profit margin? It's the difference between the total earnings and expenses made by a company. Wipro has had a hard time maintaining a decent net profit margin. Its net profit margins have been lower than other IT service companies like TCS and Infosys. While TCS is at 18% net profit margin, Wipro is at 12% which is a staggering difference between companies who do exactly the same work.
Wipro layoffs 2024 may be motivated by the desire to cut down on costs so that Wipro can improve its net profit margin. Wipro has made an acquisition of Capco Consulting some time ago. The Capco Consulting is a technology consulting company that has tried helping Wipro build its tech business. But the return on investment has not been great for Wipro.
Wipro made an acquisition of Capco at $1.5 Bn. Now Wipro continues to pay these employees. Because of this Wipro is taking a hit to its net profit margin. Wipro can't sell this company immediately because there will be price depreciation. This is the reason why Wipro's profit margin is worse than other companies in the industry.
Now, when the overall market is doing bad. Wipro needs to ensure that it's doing something to improve its profit margin. Wipro layoffs 2023 and Wipro layoffs 2024 are not really employee’s mistake. Earlier the bad business situation prompted the layoffs and now it's the bad business decisions made by the top management leading to this problem for Wipro.
Now Wipro has made clear that it is laying off employees from the onsite. This is because employees working offshore are often paid less compared to employees working onsite. IT sector companies typically want to have 80% of their employees offshore and 20% on site.
Again Wipro has made clear that it is going to layoff employees from its middle management segment. Not from freshers or experienced folks. Because of this, the freshers and highly experienced folks can rest for now, but if someone is in the middle management then they need to worry.
Hope you find this video valuable, see you in the next one.
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Chapters
0:00 - Intro
0:28 - Wipro’s declining NPM
1:50 - Capco Acquisition
3:40 - Who gets laid off?
5:27 - Outro - Розваги
News articles for your reference: economictimes.indiatimes.com/tech/information-tech/exclusive-wipro-to-lay-off-hundreds-of-mid-level-employees-to-improve-margins/articleshow/107281960.cms?
I'm in the part of LOP for past 1 . 4 months still there is an whatapp group people's like me with more than 3k employees that too in chennai and pune bangalore etc.. But still there is group and ppls that i couldn't know.. Wipro is doing an Immediate lop for many of them even if your in project also sudden Hr call for some people's to move out by their own... If you resigned by your own you also need to pay 30k something😫still I'm Struggling without job With my family
Sir I'm trying to get job but without experience I'm getting rejected before.. I have an sibling she is physically challenged I need to take care of her but still worried that I'm jobless and I couldn't.. I can't move out of wipro cause I need to pay back the money like 30k without job and in my family crisis I can't do anything please make something to this media and these are all happenings In wipro sir.. Is there any opportunity please help me for an job sir🙏
This clearly shows the advantage of remote jobs, and why they will only boom in coming years !! So basically freshers will be paid peanuts... And by the time they have 5-15 years experience.. They could very well get fired... 😂. IT industry is full of hyenas and vultures in India..!! I will never let my child work in IT...
Then which will be safe sector could u elaborate for ur feature son😏?
@@vinayak4778 Not IT
@@vinayak4778😅
Politics 😂😂😂@@vinayak4778
@@WISESHEEPOFTHELORD😅 bro internal depts like HR are fired the most
Thanks for continuing updates I'd rather trade the stock market as it's more profitable. I make an average of $34,500 per week even though I barely trade myself.
I'm favoured financially, Thank you Jesus $32,000 weekly profit regardless of how bad it gets on the economy.
How
..? Am a newbie in crypto investment, please can you guide me through on how you made profit?
A lot of people still make massive profit from the crypto market, all you really need is a relevant information and some professional advice.
Thanks to Mrs Deborah Davis.
She's a licensed broker here in the states
Instead of laying off , just tell employees that company is in loss , so do work from home and no salary hike for this year
Yes then some people resign their own and some who are solely depending on the job will remain right lay off will destroy life's
Already no hike and Gaslight manager using this to screw there successor whom they are afraid of
This looks practical but as explained in this video employee's salary is 60% of company's net profit where as other expense like rent etc are just 20% . Hence company will prefer layoff to save 60% instead of giving wfh to save 25%.
Do your work. If MNCs want to lay off, they will lay you off no matter what
Sometimes in Wipro there is 1 person doing work and 5 more involved in it without any work.
Most managers who don't have any idea how to write even a single line of code are made to manage technical teams.And then they also escape these layoffs
Good commentary on the current state of Indian IT sector.
Love the clarity !
Reason: Redundant mid level...in a highly protective culture built by coterie. Peter principle applied...
Any one of u who are started in career or mid career profession , donot take home/car/personal loan take it only incase of medical emergency
u don't have a stable job so u can't commit on any no. of months that u will be paying the emi
I agree! It is tempting. But wrong thing to do!
Wipro has always been worst IT company in India.
Be it Quality, As a company.
I agree no benifits Gaslight manager
Watching this type of videos since 2021 graduation
Still no one faced any issues around me
But no job for me
Better resign and do farming. You need food to live
Most managers (non techno) in Desi companies like TCS,Infy, Wipro,CTS are not adding any value to clients but are billed on expensesof tech folks..also most don't play any role in engineers career growth ..not sure how long companies will keep them..
I agree
Employees made scapegoat for management's bad decisions and that too despite having huge cash reserves! Hmm. Interesting times.
Its not that onsite wages of employees are more but it is driven by several factor eg min wage, pay parity, living standard, high tax rates etc
"Which IT Employees Should Worry?"
All from projects that are being closed or reduced.
In infosys HR is calling employees for 1 to 1 discussion and doing onspot forced resignation. Without doing evaluation of previous quarter goals and whiteout giving ratings, randompy sending PIP mails😢
😢
When Capgemini acquired IGATE, Capgemini employees got the Golden ZERO % hike letter.
😂
I got placed in Capgemini through on-campus college placements in 2023 but till now they didn't give joining for me now I'm completely blank since I'm non IT graduate as an long career gap core industries didn't come forward to hire me and I'm not good enough to crack any IT sector in this competition
what to do ? How long I need to wait? did you know anything please share that🙌🏼
Excellently explain
Then we have some high Onboarding possibilities for elite phase 1 right? Though they don't have enough projects on other hand. Already many of them got terminated nd now it's gonna held again, so if they terminate employees then lack of vacancies for freshers who already have offer letter and waiting for Onboarding right?
Well Explained !
The IT company with margins of 12% can not survive. Wipro in a very dire situation. IT industry in India has to evolve otherwise AI will dent more margin
None of above - They need to reduce head count trying to reduce cost indirectly or directly . And when it happens the dog eat dog and political gamble starts at the senior manager level
sell off reason using car example.. Is that to be a correct analogy?
Very nice content with a beautiful insight 👍
Thank you:)
Ever since Ajim premji son Rishad has taken the charge Wipro has been facing constant downfall
I agree with you...
this news was already in the market..he just took this headline to promote his other service
Tell me one thing if corona learn all company work can possible via work from home then why company not getting idea to work from home and save money in some area
No 1. To resolve this Problem take only CE and IT Students for Work.
It is not number#1. I believe it is mostly #2
I disagree .if a non cs person can learn in the training and clear the interviews . Why should cs people be favoured
@@johnsamuel1999 only some of them are the best but many people are out there who come to this IT industry because of high paying jobs in past 3 to 4 years, I have seen most of them don't know how to debug the code.
Not useful, people will provide fake education background 😂
thank you for saying that
When company make profit nothing given to employees when company makes loss employees gets fired
So the layoffs are because of the company’s performance in the market which is also additionally impacted due to the recent recessions too.
any possibility lay offs in in infosys?
00:01 Factors behind layoffs at Wipro
00:42 Wipro has been struggling with quarterly performance.
01:25 Wipro's net profit margin is lower due to Capco acquisition
02:06 IT employees should consider the pay rates and future job roles.
02:56 Wipro's profit margins are impacted due to the acquisition of Capco.
03:34 Wipro is laying off employees in the technology Consulting Division and on-site locations.
04:20 Wipro targeting layoffs in middle management segment for faster decision making.
05:02 Seven skills AI can't replace help negotiate better pay and grow in career.
Super
Layoff makes condition worst , remaining employees get some extra work load on behalf of lay off , and this will reduce the effecincy in employees
Who is giving $100/hr? We use to pay TCS, WIPRO, INFY, TECHM $45-55/hr.
This feels like yr 2000 just before the Dotcom bust!
Whatever the reason is I bet everyone is happy that the higherups will keep their bonuses and the CEOs will keep their golden parachutes. AREN'T YOU?
Usually it is the same! However, in this scenario - it is tough because their performance has been really bad compared to peers!
Definitely not. Higher ups and CEOs have far more STRESSFUL things to handle.
And in this case, they are in a pinch. If the organisational boat sinks, then they lose their value.
They need the profits as well as the assets to make the profits. It's not as simple as it seems for these "HIGHER UPs".
Wipro is not even a proper IT company.
Most of their business is BPO.
Which is a fancy term for a call centre.
Superficially it may seem TCS and Wipro do similar stuff but in reality TCS has some actual IT services with a small BPO service, while Wipro is mostly BPO with a tiny part in IT services.
They are not the same.
14% variable pay based on client billing, hardly 20-25% salary of total clients billing n many third class.policies😢
IT companies have been doing same things in a cycle.
Guessing this is not only true with IT but in every industry.
Cost Cutting (CC) or Carbon Copy (Cc) 😊
In a year 1 month we need to go back to college, to learn new software new things, otherwise no future
Same package for freshers for past few decades.. why so.
They will join irrespective if package offered so companies don't worry much.. TCS had same package to campus recruitment for more than decade now..😂
I am Wipro employee.. Its headwinds and poor sales
AI have not even started working.
Once AI will get advanced then it will start affecting jobs in next 10 - 12 years. 3:17
Hello, I was wondering what is
the feeling of these both, A
boss telling to his employee: you’re
fired or one of the layoff.
Ecclesiastes 6(DRB)
8:6. There is a time and
opportunity for every business, and great
affliction for man:
No layoff just restructuring 😂
Hey Pavan
With the advent of AI, and since India is relying on its IT service industry to grow, and since India now has just over 1.4 billion people and the population is continuing to grow, I really doubt it that it can feed its own people, let alone moving up the global GDP league to the No. 3 spot as Modi proudly stated.
bro u wud not even have IT if congress was there, so pls dont point out modi.
yes modi ji shud focus on populaton control act 2 child policy strict .
only then things will calm down but not for us but for our children lol, we are destined to suffer.
I was working for wipro from 2019 to 2023. Generally its a conservative mindset company (Kanjoos).
Ex:
1. They keep on push every project employees to find someway to bring more revenue from client.
2. my project client approved budget for 5 new developers. That means 5x revenue income to wipro. But my Wipro Account Head told me to take only 3 developers and he dont have budget for 5. 😮
I guess the company's top management is with bad leadership. They only try to squeeze out revenue from all seeds. No proper care for employee welfare.. If they continue the same behaviour for 2 more years, then this company will collapse for sure..
Now I am working as web developer as fresher, after knowing this type of news, I can't focus on learning properly. And thinking should I leave my job and will go to home and will do jobs at Factory as labour...
You can learn to do factory labour anytime but cannot learn after you cross your prime youth period. If you want to go into software, continue learning. If you want some kind of job, work for any small business owner, learn the trade. In few years, you can start your small business
Same feeling for me now days it sector is very hard and stressed. I also think to go factory sector. It safe for job in after 10year also. But salary less but peaceful life.
Well said Lokesh!!
@@PavanSathiraju sir is there any future for web developer or not after AI upgradation?
Bro please dont listen to these people.
After Recession everything will be alright.
IT is still the best sector for an employee.
This guy is a fear monger who wants everyone to feel insecure just like himself.
Mark my words, there will be large scale lay offs this year. US is in recession, they are delaying the declaration. There is refinancing of the loans scheduled this March. There are high chances many can default the loans as the loans were taken at 0% during lock down and now refinancing will be done at extremely high interest rate.
Freshers hiring not happening, how to sustain life, i can't sit for 6 months without job, degree i am about to get, what about job, College worst placment, best placement private college gone to worst in one year.
Which field r u ? Try web development freelancing or drive uber. Driving jobs in gulf pay a lot of money. Construction jobs also need workers in Europe. Keep searching. Don't sit at home obsessed with software jobs.
1, 2
Hello sir, I have been selected as business analyst for wipro from my PGDM in marketing and analytics in their some cyber security domain. I'm from a non-tech background could you suggest about my further strategies as I would be joining it in the month of June/July 2024.
Same hear..bsc agri candidate wants to do IT job ..the pay is very less comparing to IT sector...
Plz may I know from where u did PGDM
No 2 and 3
Why don't they give work from home so they can save rent, electric bill, travel expense of emplo
they need to show their customers that thier code and data isn't leaked.
@@asutoshghanto3419 yes u r right sir
Sir, Please make vedio on DXC Technology Q3 Results released on feb1.which is good or bad,becz iam Selected to DXC (2023 batch) not get trained and onboarded.please make vedio on Q3 results
did u got ur offer letter/joining letter; ?
waiting for domain taining @@ThePlusOrg
Nice video but can you keep the camera a bit far and not too near?
That's the feedback to my editor:) he decides to zoom in:)
@@PavanSathiraju nice...you have a team too..I thought you were doing all by yourself :)
Sad reality of IT employees no job security. while they are earning government happily takes 30 % of tax from salary but when they are laid off government will not care.
Wipro is not paying employees any salary after 45 days on bench
What?
@@PavanSathirajuyes, it's true
How many days of bench period is allowed?
@@PavanSathiraju yes its risky to join wipro
yes true
No 3
All three
Wipro mostly have their own leased land for offices, so no point of expenses for this.
I don't know why... your speaking and tone seems to be identical to that of Dr. Pal
Sorry. Who is Dr.Pal?
why mid management ? thats the question , leaders done it wrong , not okay at all .... its not specific for Wipro , this goes on for all service based IT comps , very bad
We can’t feed our people, India should seriously think about population control. Specifically every Abdul wants 5 kids 😢
lay off essentialy means Company not doing well or over staffed. Poor performersare not laid off or but dismissed. When industry s doing poorly, it isjust that many company doing badly.
Can you make a video on TCS US Layofss
Will try Jagdish
@@PavanSathiraju I will provide you more info i was part of this huge layoffs in USA how should i connect with you i will provide you more info
Wipro mostly has huge office campuses which they've mostly taken in the outskirts of the city from the government. So there's not much burden at least for real estate. And the pay scale of Wipro is also one of the industry's lowest😄
3rd Option
Company want to improve profits that's why layoffs
why the irritation background music?
This guy is so happily explaining the layoff news. This guy is a complete sadist!
The views of depressing ppl makes such content makers happy
Uski sakal hi aisi h😂
AI
One of the worst companies to work for...i was a part of der wase program which is pure waste od time and effort...they simply waste talent and micromanagement and politics which degrades employees confidence very badly.
Even in the IT industry's peak, Wipro is the crappiest company to work. S***ty Management. Employees are far less paid compare to other service companies, which by themselves pay less.
NO 2
The most important thing I got to understand that make yourself relevant every day for work so that it does not become your turn.
It doesn't matter how important u are if your project/ product is not important/ priority for your organization.
@@TheSpectator425 I am not thinking from sustainability within one organisation. Even in case of you are laid off at least you can crack interview and secure another one. Craft on your skills that's what is required.
No 2
stupid agreements with huge discounts to customers and unnecessary takeover of capco
Make senior management's salary half...everything will be solved. Why everytime we have to suffer who are in the middle bracket...
The decision makers never want to take less money! That is the reality!
No. 1 and no. 2 for Wipro's layoff 😢
Middle management classification is vague
jobless me watching this
Look, here is one observation you missed out. Wipro laid off their employees, then rehired most of the exact same people through third party contractors. So where does it fit?
3
Ye company last 2 year se aisa karrhi..WFH karna chahiye
All from 1 to 3
After 2014 layoffs started in Bha rat
When they know whos sinking the boat, they should offload them(capco) first.. why mid level folks of existing setup.
Maybe just Capco is not enough!
@@PavanSathiraju if that's the case, wipro is in deep trouble.
@@moneshkankane1951 I agree.. technically, capco folks are wirpoites now, so we never know who went first
@@Vishal_437 yea. That is the problem. Hard to draw the line! On who is l impacted by layoffs
Make positive videos also. Especially the heading atleast should give positive vibes.
When you middle level in experience wise you mean people with more than 10 years of experience?
I mean around 10-15 years experience roughly. Highly tricky phase! Because the individual is neither a leader nor a fresher
@@PavanSathiraju what about people with 6 to 7 years experience?
What about 20+ years exp guys
@@PKV54 now you are asking me tricky question. In IT industry, it is a high level of experience. Typically folks are in leadership roles. I mean - they are responsible for overall team delivery and not writing code themselves
wipro pays soo less to Indian employees in india and pays very good in foreign countries.😒 🐍 Wipro is not even an ideal work place to get paid well.
All 3?
No
Shall we file case against wipro in labour court
In India , there are no proper labor that why lot of companies taking advantage of situation
It is right decision to sack the middle management as there are a lot of non-techy middle management people doing nothing worthwhile but politics. There are too many of them costing too much to the project. I know a team of 5 people are managed by 3 middle level managers with various titles. Two of them have no idea about any stuff but simply schedule calls and doze off.
Due to Artificial intelligence software development related Jobs decline in future.