Kamal Gupta, Kartik Prajapat
(Co-Founders and Directors)
Bluetris Technologies Pvt Ltd.
The evolving nature of work and the ongoing talent war are the bigger challenges faced by Indian Companies.
United States has already headed towards a recession and has already started impacting the Indian IT Industry. Last year in 2022, US Tech company laid off 136,000 people, with 62000 people losing their jobs. India has already started facing layoffs across the big tech firms, such as Amazon, Meta, and Twitter and start-ups like Byju’s and Unacedemy. However, we think this trend is going forward in 2023.
The US Layoffs are also affecting the big and large stable companies, such as Microsoft has had the slowest growth over the past five years. However, in India, most of the layoffs are faced by start-up companies. But there are US companies that deliver their projects in India in the cost-effective market and will boom the talent in the Indian market.
Further, we cannot say that Indian IT Sector will not face any challenges during 2023. The economic slowdown is now a reality, affecting all sectors, including IT. Only US-based firms will engage in hiring and freezing. Even during the crisis, startups and neo-tech firms will be obliged to cut back on staff to boost their profit margins. These factors will impact the entire industry. But it’s important to remember that as the world adjusts to a new economic reality, these predictable downturns occur every few years.
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