Encountered with doubt, the once-successful telecom segment will carry on witnessing loss in headcounts for the upcoming 6–9 Months conveying the total figure of losses in job to 80,000–90,000, claims a report. The segment, which has been seeing tough weather when it comes to profitability owing to lower margins and increasing competition, has seen huge scale lay-offs making job situations unsure, claimed CIEL HR Services this week in a report.
The report is founded on a study among almost 100 mid-level and senior workers of 65 software and telecom and hardware service operators of telecom firms. As per the report, since a year ago, the segment has already lost almost 40,000 individuals and the drift is probable to carryon for the upcoming 6-9 Months and might witness the number crossing 80,000–90,000.
“The erosion rate is likely to stay high for minimum the upcoming 2–3 quarters and the segment is expected to lessen almost 80,000–90,000 individuals,” Aditya Narayan Mishra, chief executive of the Bengaluru-located firm, claimed to the media in an interview. He claimed that workers are worried over the doubts related to their career with their current company and the elevated levels of worries are adding to the speculation.
Violent competition for market share, elevated price of loan servicing, and doubt of mergers among others have been hampering additional investment by telecom companies leading to layoffs, the report claimed. In addition to this, the report claimed that hikes in salary have been lowered in comparison to other segments and almost 69% got yearly hike in salary of 7%, while around 1/3rd of them got less than 5% hike, it claimed. The report also exposed that most individuals leaving their telecom roles are looking for chances outside the segment. “This drift underlines the fact that the segment is not hiring unless it is a serious requirement,” it claimed.