Infosys Salary Cut Pay Cut: Infosys Cuts Variable Pay

We had reported in the month of February about the possibility of Infosys Salary Variable Pay Cut News. It seems like the news is now confirmed. It has gone really deep as the company is reported to slash the variable pay to the tune of 58% at the higher levels of executives, where the variable pay itself accounts for almost 50% of the total salary. That would mean that the high end executives will now be getting poorer by 30% of their salary.



Though the good news is that the company officials have said that company will not be going for layoffs, instead it may go for pay cuts. There is obviously no salary hike this year and no promotions either, as reported on CNBC. There is a big pressure to keep the costs under control for the company. Rumors are doing rounds among the employees that the company may even go for measures like blocking outgoing phone calls from office, reduction in other benefits, etc. However, these remain rumors.

It is also reported by Mohandas Pai, the HR Head that some boardroom members have even taken a hit of upto 70 to 85 percent.
The fate of the Indian IT engineers dont seem to be that great, especially in the current market scenario. All the dreams of having that lucrative IT job with opportunities to fly worldwide and work with international clients is taking a toll. Worse is the case of people who have taken huge housing loans and car loans and will not find it difficult to repay their EMI. Hope that the situation gets better soon

Infosys Salary Pay Cut News: May cut variable Pay

As India wakes up today, the news of one of the biggest IT companies of India will be making the headlines. It is learnt that IT major Infosys may go for a pay cut or salary cut or variable pay cut very soon. This news might be a shocker to hundreds of thousands of IT employees across India, as big companies like Infosys and TCS are the ones which set the benchmark for the rest of the IT industry of India.

What is more significant to learn is that the pay hike for almost all of the Indian companies is given in the month of March April. Now, the pay hike time coming close, and major companies like Infosys reported to be going for a possible variable pay cut, it does mean a cause of concern not only for the employees of Infosys, but also for the rest of the IT companies of India.

Higher Management at various IT Companies of India simply keep on quoting examples of the so called "Market Trends", basically meaning the acts done by the IT biggies like Infy and TCS, etc. If these big guys go for a salary cut, it will have long lasting ripple effect in the rest of the IT companies of India.

So employees, be prepared for the bad experiences, if at all they are suppose to come.
As per the news on IndiaTimes, The country's second-largest IT company has reportedly warned that it may cut employee bonuses and compensation packages in the months ahead as the global meltdown strains its revenues.
Company's CEO, Kris Gopalakrishnan told a business daily recently that the current year is expected to be very muted in terms of increase in salaries, bonuses and promotions

It is also learnt that Infosys is going to be very strict in terms of performance, and has put the bottom 5% of the employees under tight scanner. Out of a total workforce or total no. of employees at 100,000, nearly 5000 have been put under the scanner. Media reports also suggest that the company has asked senior managers (project managers, senior and group project managers, delivery managers) to give lowest performance rating (4 on a scale of 1-4) to the 'underperforming' 5 per cent as a part of its consolidated relative ranking (CRR).
Now, let's see how the other company "Smart" management go for "Borrowing Best Practices" from Infosys and what is there in the pack for the IT employees, especially those of Infosys.

Investment Banks Lay off Job Cut: I-Banks in India fire employees

There is bad news coming from all sectors of the economy and from all geographies across the globe. India is no longer shielded from this.There are many lay offs.
Just few days back, Indians used to claim how they are powering the world economy with their knowledge and acumen through outsourcing. Today, the ripples are felt. There were stories of how employees were drawing salary in millions and Crores of Rupees (What's the Worth?) and today, they are the ones who are finding themselves to be the first in the line of lay offs or Job Cuts
As repoted, there are hundreds on employees in the Investment Banking companies which have been fired by various Indian arms of the globakl financial giants. The Indian arms of global investment banks have started laying off employees.

NDTV reported that Merill Lynch has laid off 15 people from its proprietary desk. Around 25 people at Goldman Sachs have been asked to quit.
Moreover, Morgan Stanley has laid off 20 employees from its investment banking and institutional equities division.
Then there are others - Citibank, UBS, Macquarie, Credit Suisse and Credit Lyonnaise have asked employees to look out for alternative jobs as soon as possible.
Do we call it Soft Firing by the street smart investment banks?

The financial firms are all making the same diplomatic statements calling it a global exercise, reaction to the market condition, market conditions, etc. etc.

Not only this, even those who negotiated hefty joining bonuses have been told to forego the amount. But the harsh reality is that only a few are complaining since its better to have a job than none.
Let's hope that alternative jobs are available to the affected employees of Lay off Job Cut.

Volvo Lay off Job Cut: Volvo laid off fires 1000 employees

It was last month in October when there were reports about Volvo lay off & job cuts and the same has continued.
Bad news is coming from all sectors of the inductry. In last few days, there was the bad news about the General Motors GM Lay off Job Cut and then it was the DHL Lay off Job Cut and today, the truck and bus maker Volvo of Sweden has declared a huge lay off or job cut of nearly 1000 employees primarily based in Sweden as well in in the USA.


Where will the Volvo Lay off Job Cut primarily happen?
The primary locations of Volvo Job Cut would be Sweden and partially USA. Around 900 workers in Sweden and 65 in Hagerstown, Md. would loose their jobs. Few consultants in Sweden will also lose their jobs.

How many employees will be laid off in the Volvo Lay off Job Cut
A total of around 1000 emplyees of Volvo would be laid off.

What are the reasons for the Volvo Lay off Job Cut
The same reasons - as quoted by all companies going for lay offs - Global financial turmoil, reduction in demand , etc. etc.

Which business units will be affected by the Volvo Lay off Job Cut
The unit making engines, gear boxes and rear axles for trucks.

Let's hope that alternative jobs are available to the affected employees of Volvo Lay off.

DHL Lay off Job Cut: DHL Fires 9500 employees

Bad news is coming from all sectors of the inductry. Till yesterday, there was the bad news about the General Motors GM Lay off Job Cut and today, the courier and shipping company DHL has declared a huge lay off or job cut of 9500 employees all across the globe. News

As per the news, Struggling shipper DHL declared that it has decided to close its 300-employee West Coast hub in Riverside County. This move will mean 9,500 job cuts throughout the nation and closing most of its DHL Express service centers. DHL has been the preferred partner of many corporates and its shut down of such operations will force these corporates to look for alternative partners.

Why is the DHL lay off or job cut happening?
Market conditions - DHL is said to face tremendous competition form UPS or United Parcel Service and FedEx. Then there were bad financial results and losses due to the ongoing recession in the US economy.

DHL's expertise lies in international shipping and this is what they are banking on for the near future.

What all businesses and units will be closed by DHL?
Due to the losses expected to amount to $1.5 billion for its U.S. operations this year, DHL plans to close 18 U.S. airport hubs and shut all but about 100 of its 412 U.S. service centers. The company projected that daily U.S. package volume would drop to about 100,000 from between 1.2 million and 1.5 million.

"One of the principal reasons for that high unemployment rate has been the collapse of the residential home construction industry," Husing said.

"The whole business of cargo distribution has really slowed down, and when there is less of that, it really affects the express-shipping industry," Husing said.

Laid-off employees will also find it hard to find jobs at DHL's toughest competitors, UPS and FedEx, analysts said.

Let's hope that alternative jobs are available to the affected employees of DHL Lay off.

Satyam Lay off Job Cut: Satyam Fires 100 Hyderabad employees

It was in September when the news of Satyam layoff first came in, but yesterday, Satyam went ahead and made another round of lay-offs from its base city of Hyderabad. Satyam fired 100 employees citing reasons which are the usual ones like - "behavioural issues", "poor performance" in an performance assessment. Not only that, they went way too ahead and cited reason like - "delay in filling appraisal forms" and even "poor dressing" at work - appears to be a lot weird reasoning.

It is learnt from the news reported that it was a forced resignation - affected employees were given just 2 hours time to decide to resign or services to be terminated.

Probably, people took inspiration from the Jet Airways employees lay off who went berserk after jet airways announced lay offs. Those who were laid off alleged that the company chose to put the blame on them as against owning up for the financial crunch it seems to be facing. They point out that ratings of most employees this year in its "Smart" appraisal exercise (with S as highest rating and T lowest) have dropped with many figuring in the bottom R and T slots.

Though the management at Satyam continues to justify the lay offs mentioning that they are all based on performance and behaviours.

As reported by TOI, sources say the firm is undertaking fresh background checks of all its employees to find "valid" reasons for firing. Besides, project leaders were asked to suggest at least two names from their teams who could be eased out of the firm. But it was the manner in which the news was broken that left many shaken.

"Despite having an impeccable work record I was shown the door. And to do this I was given just two hours," says a senior software engineer.

Another employee of three years with a "S" rating under his belt had to quit under similar circumstances. The techie was first asked to take an assessment test within 30 minutes. He was then told his performance was poor and that he had to leave. "Why would the company insist on a test that my managers in the past had described as only a formality," he asked. His demand to declare the test result went unheeded, he added.

A senior associate who was laid off last week said the pink slip came as a shocker. With six years work experience in known IT firms, he was handling a project in Satyam, two phases of which were already over with his work spilling over to late evenings. One such evening last week he was summoned by HR officials who asked him to meet them
the next day. "I was told, either you leave or we terminateyour service," he says, adding that the reason cited for his removal was his failure in filling the appraisal form on time.

S V Krishnan, Global head of HR, Satyam Computer Services, said, "As part of our appraisal process we identify around 5 to 10 per cent of our associates in the Performance Improvement category and put them through a structured Performance Improvement Program. Our experience reflects that about half of this group exits the system either voluntarily or involuntarily, while the others make credible progress internally. We have concluded our appraisal process a few weeks back, and believe we are witnessing similar trends like in the past."

Latest: Satyam salary freeze rumors after Raju admits fraud

So where are those individuals who believed that the IT boom is here to stay, or those who believed that there will always be new technology and innovations so IT engineers will never loose the jobs or those who believed that Indian Companies never lay off anyone.
Let's hope that alternative jobs are available to the affected employees of Satyam Lay off.

General Motors GM Lay off Job Cut: General Motors Fires 3600 employees

After firing around 1200 employees in October, GM is again going for the big one.
The news has just been broken by Herald Tribune - it is reported that US Automobile Giant General Motors GM or GM has reportedly laid off or fired around 3600 emplyees indefinitely.

General Motors Corporation says that about 3,600 workers will be laid off indefinitely beginning early next year as the automaker slows down production at 10 of its assembly plants. The main reason quoted by the company is that market is going down, hence the demand has gone down and hence the production will be reduced. Less production or Prodcution Cut would mean less requirement for the employees and hence the GM job cut. IHT.

GM spokesman Anthony Sapienza said Friday the production line "re-rates," as they are called, help reduce inventory and adjust to shrinking market demand.

When will the General Motors GM Lay off Job Cut start?
The General Motors GM Lay off Job Cut will start on January 12, 2009, which will mean that New Year will not be good for these 3600 employees of General motors.

Which plants will be affected in this General Motors GM Lay off Job Cut?
It will affect Michigan plants in Hamtramck and Lansing; Wentzville, Missouri; and Oshawa, Ontario.

More slowdowns will begin Jan. 20 at factories in Bowling Green, Kentucky.; Lordstown, Ohio; and Spring Hill, Tennessee.

Re-rates also will start Feb. 2 in Oakland County's Orion Township in Michigan and Kansas City, Kansas, and Feb. 9 at a second Lansing plant.

Jaguar Land Rover Lay off Job Cut: Jaguar Land Rover Fires employees

Just some hours back it was General Motors GM which went for a massive lay off, followed by Schaeffler Germany Lay off Job Cut and now it is the turn of Jaguar Land Rover to fire employees or go for Jaguar Land Rover Job Cut or Jaguar Land Rover Lay offs.

The Jaguar Land Rover is now owned by India's Tata Motors and this deal was completed only a few months back.

How many employees will be fired from Jaguar Land Rover Lay off?
As per the reports arouond 200 employees will be fired

Which plants in UK will see the Jaguar Land Rover Lay off
The Jaguar Land Rover Job Cuts will happen at the plants in Birmingham, Solihull and on Merseyside.

There are around 15000 Jaguar Land Rover employees in Britain alone. Though the company said it would seek to shed the staff through voluntary redundancies.

As per the news from Telegraph, The credit crisis has seen new car sales in the UK tumble by more than a fifth compared to this time last year, but Jaguar insisted that its job losses were unrelated to the current economic gloom.

Jaguar Land Rover has announced a range of measures in recent weeks in an effort to limit over-production, including four-day weeks and temporary closures of some plants.
Official figures released this week showed that the total number of unemployed people in the UK has risen to 1.79 million, the highest since March 1998. Some analysts have predicted that 2 million people could be out of work by Christmas, with the jobless total expected to pass 2.5 million next year.
The Office for National Statistic figures also showed that a total of 147,000 people were made redundant in the three months to August.
The Government has made available an extra £100 million for re-training workers, in anticipation that the likely imminent recession will see a jump in job losses.
Glass-maker Waterford Crystal announced that 280 staff at its plant in Waterford in the Republic of Ireland are to be made redundant

Let's hope that alternative jobs are available to the affected employees of Jaguar Land Rover Lay off.

Schaeffler Germany Lay off Job Cut: Schaeffler Fires employees

Just some hours back it was General Motors GM which went for a massive lay off and now it is the turn of Germany based Schaeffler to fire employees.

Yesterday Schaeffler (Official Site), which is the the second large company in the Germany automobile sector, decided to lay off temporary workers

The same reasons of industry slowdown, were cited by the Schaeffler Management. However, these developments have given sufficient pointers that the the labour market in Europe's biggest economy is having serious problems and may be on the verge of a decline.

As per the news reported, Car-parts maker Schaeffler said it felt "a marked slowdown in the deliveries to carmakers in recent months" and would therefore "significantly" reduce its temporary staff.

There are around 4,000 contract workers worldwide in Schaeffler. Apart from that, there are around 66,000 permanent employees world wide for Schaeffler. In a similar move, German truck and diesel engine group MAN said this week it would cut production and reduce its temporary workforce.

The slowdown at Schaeffler comes after the company took on €16.1bn ($21.6bn) in debt to finance a takeover of Continental.

Let's hope that alternative jobs are available to the affected employees of Schaeffler.

General Motors GM Lay off Job Cut: General Motors GM Fires 1200 employees

Its time now for General Motors GM to annouce General Motors GM Lay offs or General Motors GM Job Cuts. As per the news reported, General Motors Corp. will lay off around 1,600 hourly workers.

Which plant employees will be affected by General Motors GM Layoffs
The General Motors GM Lay offs will happen at assembly plants in Detroit, Pontiac and Wilmington, Del.,

What is the primary reason for General Motors GM Job Cuts, as mentioned by the company?
Market Conditions is the buzzword for all companies firing employees and GM is no exception to that. It is citing decreasing demand for trucks, large cars and luxury cars for the General Motors GM Job Cuts. GM spokeswoman Sherrie Childers Arb said the layoffs in Detroit and Pontiac are the result of planned line-speed reductions. The action at Wilmington, she said, is the result of plans to reduce production from two shifts to one.

How many employee will be laid off from General Motors GM, as per the plants?
The company will lay off 500 workers at its Detroit Hamtramck Assembly plant on December 23, 2008 due to reduced demand for the Buick Lucerne and Cadillac DTS.

GM Spokesman Tony Sapienza said the Detroit Hamtramck layoffs are effective January 12.

It will lay off 700 workers at GM’s Pontiac truck assembly, where it assembles the Chevrolet Silverado and GMC Sierra pickups beginning February 1.

Then, there will be another 400 workers laid off at its Wilmington, Del. assembly plant beginning December 8. The Wilmington plant assembles the Saturn Sky, Pontiac Solstice and Opel GT roadsters.

Other developments for GM showing bad business prospects are that it plans to close its Janesville plant on December 23 — more than a year before originally scheduled — and new plans to close its Grand Rapids stamping plant by December of next year. Earlier this month, the company announced plans to accelerate the closure of its Moraine, Ohio, assembly plant by more than a year. That plant will also close on December 23.

Let's hope that alternative jobs are available to the affected employees of GM.