Digital disruption to impact biz

Close on the heels of companies going ahead with employee trimming initiatives, Indian IT industry body Nasscom made it clear that digital disruption will impact the business model across the world.

Talking to DH, Nasscom President R Chandrashekhar on Monday said as far as digital technologies are concerned, Indian companies are going through a transition phase. “It will impact every other sectors. All business verticals are making adjustment in this transitional journey, including IT services companies,” he said.

He pointed out that employees in these companies will have to go through retraining as they don’t have required skill sets to meet these challenges. “In some cases, companies are looking at bringing on board fresh talents to meet these requirements. It is important for every employee to upgrade skills and for employer to concentrate on reskilling initiatives,” he said.

Recently, US-based Cognizant’s 400 senior executives accepted the company’s voluntary separation package (VSP), a move that will help the company to save about $60 million annually. Other companies have rolled out employee trimming initiative under the pretext of appraisal programme.

Commenting on the retraining initiatves, Chandrashekhar said Indian IT industry retrained 1.5 million to two million workers in the digital technologies for the past two years. “From Industry stand point, we will have to train at least two million people for the coming two to three years for this digital journey. Nasscom has identified technology areas of reskilling, 55 job roles which need specific reskilling and 135 skill areas also identified,” he said.