IT layoff numbers are exaggerated, says top TCS executive Ravi Viswanathan

CHENNAI: As the IT industry battles allegations of mass layoffs, Ravi Viswanathan, president (growth markets), TCS, says the numbers are exaggerated.

"Somebody has to take a closer look at the numbers. Most companies have said there are no layoffs but performance-related send-offs. Layoff means there is no work and such a company would not hire more. This industry has no concept of layoff, especially at this time," he said.

While several leading IT companies including Cognizant, Wipro and Tech Mahindra have been accused of layoffs, Mumbai-headquartered TCS is among the few that has not been at the receiving end of IT unions and disgruntled employees.


Defending the industry as a whole, Viswanathan said that early estimates from Nasscom indicate that the IT industry will be net hirers as the year ends. "We will not see a decrease in technology spend across the globe. This will translate into more dependence on IT services which means we will need more people," he said.

While IT employees have alleged that they have been kept on the bench for long and have not been supported in case of low performance rating, Viswanathan said, "Every company has a programme to reskill and re-evaluate to put underperformers through interventions. Very few people actually fall off after these interventions."

Unionisation in the IT sector is yet to gain momentum. In 2016, the state labour secretary in Tamil Nadu categorically stated that IT employees were free to form unions under the Industrial Disputes Act.

On whether unionisation would be good for the IT sector, he said, "It is a space we have to watch. If employees feel it is good for them, they will decide on it."