IT firms to suspend hiring this year: Mohandas Pai

IT firms to suspend hiring this year Mohandas Pai

The Coronavirus impact can be seen on the India job sector. IT industry veteran TV Mohandas Pai said India’s information technology services industry would see hiring freeze this year and senior level staff taking a 20-25 per cent salary cut.

He also said the IT industry has done a fabulous, unbelievable and remarkable job in transitioning more than 90 pc of its staff to work from home.

According to reports, employees of IT companies will always work by rotation even after the coronavirus-inflicted lockdown is lifted.

Pai also said he does not expect the demand for office space in the IT sector to shrink going forward because companies would now need to maintain social distancing.

Pai said IT companies would not hire more and will suspend recruitment, except honouring commitments already made.

“Secondly, if people leave, I don’t think they will fill up the backlog. All the clients are in the West, they have not opened their offices yet, they are still going through the pains. So, I think next year there is going to be recruitment,” Pai said.

“There will be salary cuts. There will be promotions but not increments in salaries for most people. For senior level they will cut salaries to adjust costs, may be 20-25 per cent,” he added.