As per a recent report, the top Indian IT companies and global IT companies like TCS, Infosys, Wipro, HCL, and Cognizant can lay off up to 30 lakh employees in the next few months, and there will be a dearth of IT jobs due to rise in automation.
Automation and Job dearth –
Recently, Bank of America has revealed a report on the job prospects in the IT sector, and the outlook is very harsh, especially for the IT employees. As per the report, 30 percent of the low-end IT jobs can be wiped off due to the rise in automation. However, many major IT companies in India and globally will lay off their employees, and it’s inevitable for companies to save funds.
The report said, “TCS, Infosys, Wipro, HCL, Tech Mahindra, Cognizant, and other IT companies are planning for at least 30 lakh jobs reduction in low-skilled roles by 2022 due to Robot Process Automation (RPA) up-skilling.”
Read more about the Threat of Automation
Jobs to get affected –
IT and ITeS industry have approx. 1.6 crore employees in India, out of it 90 lakhs are low-end, repetitive kind of jobs that the companies can automate. Hence, as per the report, 30 percent of 90 lakh jobs are at risk.
Top IT companies like TCS, Infosys, Cognizant, Wipro, HCL, and other companies can lay off these 30 percent jobs from the low-end IT spectrum and deploy RPA.
The report says that IT companies can save up to 100 billion USD for salaries for these 30 lakhs employees laid off in the next few months. In Addition, companies can save 10 billion USD indirectly due to a smaller number of employees working. Moreover, companies can create a 5 billion USD market from scratch for developing robot-based automation software for other companies.
RPA or Robot Process Automation are bots or software that mimic what an employee manually does and processes it automatically. RPAs can work 24 hours a day, and one bot can do the work of 10 employees.
How to protect yourself from these job losses?
Upskilling yourself with the latest technologies and being more agile to change rather than sticking with the same technology will be the key for Engineers to be retained. Subject matter experts are another skill that will be a useful skill to be acquired will help IT Engineers retain their role. Multi-skilled employees and T-shaped developers are going to be soon in demand.
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