GlobalLogic lays off 125 on 'poor grading'
Harsimran Singh NEW DELHI IN ANOTHER hit to the IT sector, GlobalLogic — one of the largest outsourced product development companies in India — has laid off some 125 people. While 108 employees were asked to leave "due to poor grading in the appraisals" concluded in October, another 17 employees were asked to leave because their "skill sets fell obsolete" and were not in line with company's requirements. The $100-million company has delivery centres in Noida, Nagpur and Pune, and employs about 2,000 people. Headquartered in Virginia, US, the company is funded by Sequioa Capita and NEA. The company confirmed the layoffs to ET, but said the figure is 115 employees. Due to the grim situation, Global-Logic CEO Peter Harrison flew to India from the US this week to take stock and called an emergency townhall meeting to announce the drastic steps. Overall, the outsourced product development company has downsized its headcount over the past two years to about 2,000 from 3,000 earlier. Erstwhile Induslogic, the company was started by four Indian founders, out of which two were IIT-Delhi alumni. The current downsizing has happened across levels, be it director, manager or trainee levels. "We believe in sharing the numbers (of layoffs) with employees as we don't want to create any anxiety. A transparent organisation is the most productive one," said Rohit Sharma, marketing head at GlobalLogic. The company has also restructured its verticals, wherein the earlier telecom, healthcare, consumer and mobile verticals have been consolidated into three — B2B, B2C and a telecom vertical to reduce flab and overlap. Business flow from start-ups and emerging product companies have been impacted due to the slowdown. In another interesting twist, one of the cofounders and partners in the company Rajul Garg has resigned from the executive management team as HR head to pursue entrepreneurial activities "outside the company". The company is now on the lookout for a new HR head. --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups ""GLOBAL SPECULATORS"" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [EMAIL PROTECTED] For more options, visit this group at http://groups.google.com/group/globalspeculators?hl=en -~----------~----~----~----~------~----~------~--~---
