Cognizant CEO plans for job cuts by October
On the basis of the newly issued report, the well-known tech-giant, Cognizant could observe a slew of job cuts as early as end of the October month, warned by the CEO of Cognizant Brian Humphries at an investor event, New York to indicate that the recent restructuring at the firm does not drag out over time.
Mr. Humphries also said that “I didn’t believe in death by numerous cuts. Instead I would pull the band-aid off and meanwhile, get it behind us and then settle down the context as to why this is unfavourable and maximum to the future.”
He told that “We need to be harsh with the cost structure and also use those savings in order to fund the future”, said him. Humphries joined Cognizant in the month of April who earlier said that we have already planned to minimize costs to self-fund some expenditures and also create the IT services exporter exactly fit for growth. The Teaneck which is headquartered at New Jersey had now grown strongly more than the past 25 years even though growth has been upsetting over the last few years, he said. But, it was in the procedure of forced out cost. At cognizant, we require new eyes, a new perspective as well as to sharpen in on what we have that are hobbies and what is unsatisfactory.
One of the tech news media earlier reported about possible job cuts at Cognizant. But the company’s prime aim will be changing its compensation structure. Some measures are determined for increasing the variable pay element of the employee salaries. This is mainly anticipated to impact the sales force of the company. Cognizant CEO told that changes to sales compensation will be generated in the month of January.
Meanwhile, reducing costs will also help the firm better compete for deals as the company had lost deals to TCS 0.40 percent and Infosys 1.38 percent due to the company didn’t have the cost structure to bid systematically, the ECO said.