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200 Satyam employees from city in exercise to downsize staff

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  • Nearly 200 employees of Satyam in Pune will be part of the virtual pool exercise implemented by the new owner, city-based Tech Mahindra, to downsize the excess staff. The IT firm announced this programme in Hyderabad on Friday.

    With the staff officially being informed of this exercise in Pune on Friday itself, the programme will rolled out in two week, according to a senior spokesperson of Tech Mahindra.

    The IT firm had announced a plan to send the excess staff on a sabbatical to address higher staff costs, which account for more than half of the company’s expenses now. The pool will see nearly one fourth of Satyam’s workforce, that comes to around 10,000, as part of the exercise. “These employees were on the bench for the past three months,” the spokesperson said.

    The exercise will be implemented for six months, during which the employees will get 40 per cent of the total income — that includes the basic salary, provident fund as well as medical insurance. According to a letter to the employees, they will be initiated into various training programmes to hone their skills and they can be taken right back if there is any project coming up.

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    The spokesperson said the employment status will be undisturbed and based on business requirements, while associates may be recalled and reinstated on full pay and benefits.

    On upgradation of skills, the employees have been asked to upgrade their skills utilising Satyam’s learning programmes and resources, equipping them for the evolving business landscape.

    ... contd.

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