Telecom sector faces uncertainty– over 40,000 employees have been dismissed and more jobs are endangered
The once so promising Telecom sector is now facing its debts and had to cut down drastically on their employees. Over 40,000 people lost their jobs in the course of the last year and Telecom has announced that they will have to cull 50,000 more during the next six to nine months.
CIEL HR Services released a report based on a survey among around 100 employees of 65 software and hardware providers to telecom companies. It represents the crucial situation that the sector is facing now. According to the report even more jobs are endangered. It predicts that during the next semester the culling will affect up to 90,000 jobs in the sector.
“The attrition rate is likely to remain high at least for the next two-three quarters and the sector is likely to reduce around 80,000-90,000 people,” said Bengaluru-based company’s chief executive Aditya Narayan Mishra and verified the prognosis given by the report.
Facing the new uncertainty many employees worry about their careers and decided to resign to look for a more secure job in the industry. The sector is stuck in debts which has been hindering further investments by their sponsor telecoms which resulted in a further round of dismissals, the report said. Additionally, salary raises were lowered significantly compared to other sectors in the IT branch.
The survey also showed that most people that left their jobs were looking for other opportunities outside of the sector. This given Telecom now fears for their high skilled employees who are essential for the sector. The report shows that the sector wants to put in extra effort to keep their top talents.