Workers laid off in Cognizant

One of the 100 largest digital companies in 2019, Cognizant, has announced that it will be downsizing its content moderation business and layoff 7000 IT workers. People familiar with this industry believe that very soon, there will be another round of layoff in which a similar number will be retrenched. Content moderation refers to  the process of detecting objectionable content in social media sites like Facebook.

Cognizant laysoff workers

The gross income of Cognizant in 2017-18 was US $ 16 billion and its net profit was US $ 2.8 billion (US $ 1 billion approximately equals 7,000 crore rupees). This ranks Cognizant 193rd rank among the Fortune 500 companies. In 2017, there were world-wide 2,60,200 workers in Cognizant, of which 72 per cent (i.e., 1,88,000) were Indians. In 2017, the company had laid off 10,000 workers in India.

The layoffs are not because the company is not making profit. In the quarter ending in September, the total revenue of Cognizant grew by 4.2 per cent to US $ 4.25 billion compared to one year ago. The net profit in this quarter was US $ 497 million (approximately, 3,500 crore rupees). The net profit in the previous quarter was US $ 477 million.

Now Cognizant has an employee strength of 2,90,000, of which more than 2,15,000 are Indians. This means that the total numbers of workers employed by Cognizant has increased. Similarly, in Tata Consultancy Services, Infosys and Wipro has hired 59 per cent new workers compared to the previous quarter. These three companies have added a total of 28,157 workers in this quarter, while it had added 16,687 workers in the previous quarter. On the one hand, new recruitment is going on; on the older hand, employees are being laid off. Just like Cognizant, various prominent IT companies like Infosys, Deutsch Bank, Cap Gemini and UI Path are laying off workers. For example, Infosys has laidoff more than 10,000 workers this year. Companies are retrenching middle and higher level managers, who are earning higher wages, and hiring junior level workers so  that profits can be maximised.

UNITE, a union of workers of IT and IT enabled services based in Chennai has pointed out that workers are being laid off only to maximize profits. It has called on the workers of IT and ITES to get unionised to defend their interests, so that they can fight against such unjust layoffs.

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Dec 1-15 2019    Struggle for Rights    Rights     2019   

PARTY DOCUMENTS

Click to Download PDFInterview with Comrade Lal Singh, General Secretary of Communist Ghadar Party of India

by Comrade Chandra Bhan, Editor of Mazdoor Ekta Lehar

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100 years ago Ghadar Party was formed by Indians in the US.It was historic milestone in our anti-colonial struggle.

The goal of this party was to organise a revolution to liberate our motherland from British servitude and establish a free and independent India with equal rights for all. It believed this to be the necessary condition for our people to hold their heads high anywhere in the world.

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Working class representatives from all over the country are gathering on 4th September, at a time when a titanic struggle is going on in our country. The struggle is between the majority of toiling and exploited people and a minority of exploiters. It is between the majority whose labour expands wealth and the minority who enjoy the fruits of wealth creation on the basis of their private property and positions of power.

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Call to the Working ClassDefeat the program of privatisation and liberalisation!

Fight with the aim of establishing workers’ and peasants’ rule!

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Necessity for the working class to take political powerThe initiating speech, at the working class conference on the Way Forward held on 23-24 December 2011, was made by comrade Lal Singh, on behalf of the Central Committee of the Communist Ghadar Party of India. The document entitled the necessity for the working class to take political power has been edited based on the discussion in the conference and is being published according to the decision the Central Committee.

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Power to DecideVoice of the Communist Ghadar Party of India on the Power to Decide

This publication contains three statements issued by the Central Committee of Communist Ghadar Party on 1st, 18th & 28th Aug, 2011.

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