Bengaluru: The 43 year old Chairman of Indian tech major Wipro on Monday shared an eloquent response to a pressing question - could Wipro be retrenching or laying-off staff?
In the wake of the Covid-19 outbreak, India's famed technology-table of behemoths including leaders such as TCS, Infosys and Tech Mahindra have stalled fresh recruitments. Only last week, TCS quarterly results revealed a tepid trend - more focus on learning, hiring freeze, and tepid technology-buying behaviour. The TCS sheet revealed barely one percent staff working from physical locations.
With all eyes on Wipro's June quarter results (to be announced on Tuesday), shareholders at the company's 74th Annual General meeting when quizzed on the prospects of hiring saw Premji explaining, "We have no plans to lay off at the moment..."
Investors were also told of Wipro's operational means to help reduce costs.
As compared to TCS, barely five percent of Wipro staff worked from physical locations and Premji highlighted a hybrid model of working for the company that employed 1,88,270 employees.
Premji revealed a hybrid model of working which could "evolve in the coming 12-18 months". He said the hybrid model would be a mix of work-from-home and physical locations.
With Covid becoming a major keyword across boards, Premji said "safety and well-being of our employees are of paramount importance."
Besides Covid-19, the recent H1-B visa ban has also divided the global tech diaspora. Investors believe the new limiter to have an adverse bearing on Indian technology industry. In the case of Wipro, US business contributed nearly 60 percent of FY20 revenue, but Premji explained that the company was better-placed or "de-risked" owing to 70% locally-hired staff in the US.
Wipro's Chief Executive Officer and Managing Director Thierry Delaporte who joined the VC explained to shareholders that "profitable growth will be the most important priority on my agenda. We will do everything to regain momentum in the marketplace."
On Monday, the Wipro counter on the Bombay Stock Exchange saw some action with the scrip trading 4.50 points or 2.03% up to quote 226.50 per share. The scrip recently crashed to a 52-week low of 159.60 (on 19th March 2020) while the 52 week high saw it trade to 276.10 (1 Aug, 2019).