The government also reported that job openings, a measure of labor demand, increased 401,000 to 5.4 million on the last business day of May. The job openings rate rose to 3.9% from 3.7% in April.
The pandemic had led to a suspension of the conglomerate’s several businesses including aerospace, automotive and aviation depressing its earnings in key markets across the world. The conglomerate has already made moves to cut contract workers engaged in manufacturing and other functions at its various facilities.
As the Covid crisis continues, the Tata group may look to eliminate jobs of certain of business to save on its fix costs as it is grappling with the falling profit due to the pandemic and the global economic projections are pointing towards a challenging time ahead.Tata plans layoffs to save fixed costs as profit dips
Overall job loss estimates for the entire tourism value chain — including hotels and restaurants, airlines, tour operators, transport providers and all other allied businesses — battered by the Covid-19 pandemic, may lie between 38 million and 50 million as per industry body FAITH and CII.
Investec downgraded the stock to 'sell' from 'hold' and Macquarie downgraded the stock to 'neutral' from 'outperform'.
‘The recovery will be very segment and specific country driven.’
‘Optimisation is clearly a theme and innovation-led digital workplaces is a big theme.’
A total of 42,641 shares changed hands on the counter till 10:36AM (IST).
TCS will provide mainframe hosting and operations, and implement a future-proof hybrid cloud architecture that leverages the TCS Enterprise Cloud platform to revitalize Tryg's IT landscape and drive synergy across all areas of IT by bringing business agility, flexibility, and scalability, it said.
A total of 91,553 shares changed hands on the counter till 10:32AM (IST).
The ride-hailing industry has been battered by the pandemic, with firms from Uber, Lyft in the United States to India's Ola cutting jobs and costs.
In a separate report on Thursday, the Commerce Department said gross domestic product contracted at a 5.0% annualized rate in the first quarter, the deepest drop in output since the 2007-09 Great Recession, rather than the 4.8% pace estimated last month.
Software engineers, product managers, sales and marketing staff, and people in operational roles were the most impacted by layoffs at startups over the last one month, said jobs portal Big.Jobs, which shared the data exclusively with ET.
Industry lobby group National Association of Software and Services Companies (Nasscom) has sought furloughs and temporary layoff of surplus employees, relaxing daily and weekly work-hour limits, allowing women to work at night from home and a self-declaration regime to comply with government rules.
Moody's said the stable outlooks on Genpact and UPL Corporation rating reflect that they can maintain their current ratings if the sovereign was downgraded to Ba1.
Companies were forced to make quick decisions and cut red tape during the pandemic, and they have recognized fewer employees are needed to do certain jobs.
It added that the board will also consider declaration of interim dividend to equity shareholders.
In the US, apart from engineers, TCS has also been recruiting graduates from the top 10 B-schools. It’s hiring both freshers and experienced professionals for key business roles. “Local delivery is not new to us, we just had to increase the scale,” said Lakkad. TCS has hired more than 20,000 Americans since 2014.
Tata Consultancy Services is witnessing clients spending more on technology to improve their business, a critical reason why it called out that the impact of Covid-19 had bottomed out, CEO Rajesh Gopinathan told ET’s Anandi Chandrashekhar & Raghu Krishnan in an interview.
While in near term the stock looks fairly valued at 23 times FY22e, the high growth momentum will sustain till FY24.
Revenue from the UK dropped 8.5 per cent due to the double impact of Covid-19 and Brexit.
TCS also highlighted a more resilient and adaptive response from clients in the US
The US has issued new guidelines barring foreign students from remaining in America if their universities switched to online-only classes in the Fall, which prompted Harvard University and the Massachusetts Institute of Technology (MIT) to sue the Department of Homeland Security and the federal immigration agency.
Analysts in an ET NOW poll had projected the figure at Rs 7,680 crore.
The scrip dipped 0.57 per cent to Rs 2,205 on the BSE
Behind the staggering number of layoffs are individual stories of loss — of income, financial security, confidence and identity. To capture some of the turmoil and anxiety, ET Magazine spoke to employees who have been recently laid off across various sectors. While some have savings and a security net, others are in a precarious situation, with dependants and loans.
The June quarter is expected to be one of the worst quarters for Indian IT companies.
Around 50% of job seekers said they are utilising this time to focus on up-skilling, as per a survey.
Financial results coming out next week among key factors to decide market mood.
Investors will also monitor movement of rupee and crude oil as well as progress of monsoon.
The retrenchment includes 80 to 90 persons ranging from a DGM till Vice President level over the last fortnight. JCB India has a total workforce strength of 8000 people, which includes 4000 permanent employees...The employment of a sizable number of contractual and temporary workers has also been discontinued.
The customer engagement software company said TCS brings deep customer relationships, multiple-domain expertise and modern thinking in providing digital transformation experience for businesses while Freshworks brings a strong suite of products that help businesses realize accelerated ROI by providing a cohesive experience to unify their marketing.
"Understanding the current times that we are in, we have further extended deadlines. Now, furnishing of TDS/TCS statements for FY 19-20 extended to July 31, 2020," said the Income Tax Department.
The Nifty IT index was trading 1.1 per cent up at 15288.8.
Premji, who took charge in July last year, was addressing his first annual general meeting (AGM) as the Chairman of Wipro. Wipro, like other Indian IT services companies, have reduced new hiring in the wake of the pandemic induced slowdown across geographies. “Safety and well-being of our employees are of paramount importance,” Premji told shareholders.
An additional 2.2 million sought aid under a new federal program for self-employed, contractor and gig workers, who are now eligible for unemployment benefits for the first time.
The Middle East's largest carrier, which operates a fleet of 270 wide-bodied aircraft, halted operations in late March as part of global shutdowns to stem the spread of the virus.
Remote working was once considered a perk for senior leaders but the Covid-19 pandemic changed that. As countries went into lockdown mode to stop the spread of the virus, work-from-home became a reality for millions of office workers. While organizations may have struggled to adapt initially, many employers found that the benefits of remote working outweighed the drawbacks and are now looking to extend the work-from-home experiment. Here are a few companies that are exploring long-term or permanent work-from-home options.
Over the past 4 weeks, at least two dozen top companies have fired employees and contract staff.
Based on productivity, the company said it has given one cadre promotion to its 4,05,874 field workers. Along with this, as many as 4,808 office workers were given promotion with salary increment, the statement said.
In last three months, the entire organisation came together very rapidly, completely retooled itself into a totally new operating environment, says CEO &MD, TCS.TCS switching from zero lateral hiring to selective hiring across markets: Rajesh Gopinathan
CLSA said June quarter margin was a miss, but stable cash flow was a positive.
While Uber is the most high-profile recruiter to have revoked final placement offers so far, B-schools have also been seeing offers being withdrawn by firms such as Gartner and WorkIndia, placement sources said.
‘I was looking at 6% decline in constant currency and 60 bps margin drop’
TCS is scheduled to announce its June quarter earnings on Thursday.
"The unprecedented coronavirus pandemic has affected every aspect of our life. It has impacted each one of us, our families, our customers, partners and businesses. These trying circumstances have compelled us to revisit and re calibrate our business strategy keeping sustainability and business continuity in mind," the company said in a statement.
The company has been forced to downsize due to the “unfavourable environment,” said Ashish Hemrajani, chief executive of BookMyShow, in an email to employees that was also posted on its website.
PM Narendra Modi has appealed to Indian firms to be considerate to employees.
Hiring firms said resumes from employees at these companies have started coming in. These app companies employ people for a range of functions, including marketing, sales, content management, data analysis, talent acquisition, HR, strategy and growth, and product development.
All employees will receive a minimum of 10 weeks payout, medical insurance coverage for the next six months, outplacement support, be allowed to retain their laptops and given the option to join the Uber talent directory.
While Tata Consultancy Services’ revenue and margins disappointed analysts, the company’s cash collections were surprisingly robust.
The mobility business globally has been one of the worst-hit due to the spread of the virus.
Bajaj Auto MD defends stand on lockdown despite a Covid outbreak at one of his facilities.
As earnings season kicks, the outlook for the market is volatile.
In an email to employees, Aggarwal made it clear that the prognosis ahead for the business is "very unclear and uncertain" and the impact of this crisis is "definitely going to be long-drawn for us".
'We are not predicting what the future is. We are sharing the trajectory that we see.'
CIL said it has lined up Rs 10,000 crore as capital expenditure (capex) for the current financial year.
Uber, which for years burned cash in exchange for user growth, had also faced challenges even before coronavirus hit. Its food delivery operations, a bright spot in terms of adoption, loses money, and other bets like autonomous vehicles and air taxis have yet to be proven.
The country's largest software services firm Tata Consultancy Services (TCS) on Thursday reported a 13.8 per cent decline in consolidated net profit at Rs 7,008 crore in the three months ended June. It had a consolidated net profit of Rs 8,131 crore in the year-ago period, according to a regulatory filing. Revenue of the company rose marginally in the first quarter of the current fiscal to Rs 38,322 crore. In the year-ago period, the same stood at Rs 38,172 crore.TCS Q1 earnings: Net profit falls 13.8% YoY to Rs 7,008 cr
Analysts in an ET NOW poll had projected the figure at Rs 7,680 crore.
‘We are expecting a 3.5% decline QoQ on a constant currency basis’
Antique Stock Broking expects TCS to clock a 5.3 per cent fall in profit at Rs 7,717 crore.
Zomato has said it will let go of 520 people and undertake up to a 50% pay cut for remainder of the organisation.
STFC said the company's securities issuance committee has given its go-ahead to rights issue.
Here’s who bought and sold what in some of the key bulk and block deals of the day.
Bird recently raised hundreds of millions of dollars from investors, but is slashing costs to ensure it has enough money to keep it running through next year, according to VanderZanden.
Mumbai, Jun 11 () Shareholders' banter with TCS top management and the usual humour was missing at the software giant's virtual AGM which was marred by some technical snags nettling investors.
Working from home during the nationwide lockdown added to expenses, Tata Sons chairman said.
Tata Consultancy Services (TCS), Wipro, and Infosys have deferred hikes. Reliance and Oyo have cut pays.
Sectors like hospitality, aviation, retail, auto, engineering and manufacturing and BFSI are taking the lead right now in terms of queries, as companies undertake active research on outplacement, while at the same time also enquire about services connected to employee health and well-being.
Reliance Industries Limited (RIL) added Rs 28,464.11 crore to take its market valuation to Rs 11,33,168.55 crore.
The partnership aims to strengthen NSDC's online content aggregation platform - eSkill India - through which it enables e-learning amongst skill seekers and will contribute towards strengthening the Skill India mission, TCS iON said in a statement.
Hyatt said it had also cut pay for senior management, board members and all employees as part of a restructuring, adding that the staff who were being laid off would be eligible for receive severance pay.
The Nifty IT index was trading 0.75 per cent up at 14848.95.
Ignio is part of TCS-owned Digitate and helps companies reduce outages by identifying potential hotspots for failure in their networks.
The Munich-based company said earlier on Friday it had reached an agreement with the works council a package of "personnel measures for a sustainable future".
The Karnataka Employers’ Association has urged the state government to relax the rules regarding layoffs and not insist on payment of full salary amid the Covid-19 crisis, saying businesses have suffered due to the lockdown and could face closure without remedial measures.
M Rangaswami, well-known venture capitalist and entrepreneur, told that while the IT giants like Google and Facebook might have a different approach, many of the startups were instituting either layoffs or reduction in salary or a combination of both.
The bank will also maintain a freeze on almost all external recruitment, Chief Executive Noel Quinn said in the memo sent to the bank's 235,000 staff worldwide.
A host of small and mid-sized startups in home design, fintech, and e-commerce that ET spoke to did not anticipate job cuts even as some of them said they were reducing spend on marketing, putting employees on paid furlough, and giving out lower increments.
The finance minister also announced that the due date of all income tax (I-T) returns for assessment year 2020-21 will be extended to November 30, 2020. Tax experts said the move to reduce TDS and TCS will help increase liquidity in the system.
TCS added Rs 25,722.6 crore to take its valuation to Rs 7,93,854.51 crore.
Revenue from Tata Sons as well as subsidiaries and associates grew to nearly Rs 2,656 crore compared to a more than 13% growth to Rs 2,566 crore in financial year 2019, when the software services exporter capitalised on the group's new technology initiatives.
Zomato, a unicorn in the online food delivery space, will let go of 13% of its workforce and cuts salaries across the organisation to tackle the COVID-19 India crisis. The company has around 4,000 employees in different roles. Here's a report by ET NOW's Chandrar Srikant. Watch.COVID-19 impact: Zomato to layoff around 13% employees and cuts salaries across organisation
Equity benchmark Sensex rallied 329 points on Friday, led by gains in Infosys, HDFC Bank, TCS and Reliance Industries amid positive cues from global markets. The 30-share index settled 329.17 points, or 0.94 per cent, higher at 35,171.27, while the NSE Nifty surged 94.10 points, or 0.90 per cent, to 10,383. Infosys was the top gainer in the Sensex pack, rallying around 7%, followed by TCS, IndusInd Bank, ONGC, HDFC Bank and HCL Tech.Sensex soars 329 pts, Nifty ends near 10,400; Infosys rallies 7%, TCS 5%
Among the surveyed organizations, 73 per cent said they have plans to decrease the salary of employees, 57 per cent said this layoff is temporary, while 21 per cent said they are doing permanent layoffs for at least 2 years.
New Delhi: Amid the ongoing lockdown imposed to contain the transmission of coronavirus, which has forced companies to halt operations temporarily or ask employees to work from home, the retirement fund body Employees' Provident Fund Organisation (EPFO) has requested employers for neither cutting salaries of employees nor laying them off.Don't cut salaries or resort to layoffs: EPFO appeals to employers
The regulator has asked the IT major to provide adequate and timely information.
Globally, retailers including Gap, Best Buy, Macy's and Kohl's laid off over 2.5 lakh employees since March. In India, many retailers including Future Group and Shoppers Stop have made steep cuts in pay with top management even forgoing salaries completely.
Recruitment firms have received at least a few tens of thousands of queries for entry to senior levels in IT services space. Xpheno, a specialist staffing firm, has seen almost 40% spike in CVs from senior tech professionals from IT services companies over the last fortnight.
The Dubai state airline laid off hundreds of pilots and thousands of cabin crew on Tuesday in a bid to stave off a cash crunch caused by the coronavirus pandemic, sources told Reuters.
SoftBank’s businesses were battered early this year with the coronavirus outbreak and its stock tumbled.
APSEZ operates 11 ports and terminals that represent 24 per cent of India's port capacity. As part of the company's growth and transformation journey, it chose TCS to deploy the DynaPORT solution at the Mundra terminal, a multipurpose port that serves as a major economic gateway.
U.S.employers laid-off 7.7 million workers in April - a deep the economic hole that was created by the closure of thousands of offices, restaurants, stores and schools during the pandemic.
The Nifty IT index was trading 1.74 per cent down at 13601.55.
The Mumbai-based company, in its 2019-20 annual report, said it has accelerated its localisation programmes.
Following the onset of the pandemic, companies across the world were forced to change their business models. To stay resilient meant switching to new digital platforms, new response mechanisms and new management principles to handle pandemic-induced disruptions, Krishnan said.
Two lawyers have replicated the SC's PIL concept to suo motu issue notice to three IT cos for sacking staff.
Eight in 10 Indian companies not currently considering permanent staff layoffs or redundancies: Korn Ferry survey
Given the government’s extensive requests on avoiding laying off employees, the majority of companies have not implemented or are not currently considering permanent staff layoff/redundancies (84%) or temporary layoff/furlough (83% without government subsidy support and 91% leveraging government subsidy).
The closures will mostly affect Frankie and Benny's, with no impact on its Wagamama noodle chain, the source said.