Home/ News / India/  How layoffs in US tech giants bring more work to India? GlobalLogic's Nitesh Banga explains

GlobalLogic President and CEO Nitesh Banga said that the layoffs in tech giants in US are expected to bring a lot of work to India and the country's IT sector is poised to gain significantly during the slowdown.

In an interview with news agency PTI, Banga said the company is looking to acquire talents in India and plans to grow its employee base by 25-35 percent every year.

Even though thousands are being laid off in the US, India is not going to see much of a slowdown.

Also Read: Here’s how Apple is avoiding layoffs

"If Google, Twitter or Facebook or any of these customers actually lay off people in the US, it's not that they don't need to build products. They still need to continue to do their work and I believe that a lot of that work will come to India, because they will still need the talent to keep doing the work, although they will look for cost efficiencies," Banga told PTI.

Also Read: ‘Time running out’, Why H-1B professionals may soon have to leave US?

Speaking of GlobalLogic, Bangasaid that The Hitachi group IT company has close to 15,000 or approximately 50 percent of its global employee base, in India. "We hire close to 1,000 people a month. Out of that, 50 percent is in India. So, we are hiring close to 500 people at any given point in time in India. Every year, the number will continue to go up by 25-35 per cent," Banga said.

Also Read: Disney considers layoffs, nearly 4,000 employees at risk of job loss in April, says Report

He said that a premium luxury carmaker designed its gesture-based car experience system in Bengaluru, and 80 to 90 per cent of aircraft engine design and new generation efficient engines design is being done in India.

He added said there is a conversation that international firms are planning to set up 500 new GCC (global capability centres) or engineering centres in India in the next three years. " So, the equation is no longer about cost arbitrage, but it is about value arbitrage and skill and talent capabilities. There is a temporary slowdown in the war for talent. We do see this war for talent continuing to scale up for India," he told PTI.

Also Read: How to stay happy during layoffs? Experts share tips on World Happiness Day

He also said that the Indian business of GlobalLogic recorded 20-25 percent growth till about three years back and in the last two years it increased to 30-35 percent.

"I believe that it can go even faster. But, if I look at just three years ago to the last few years, already, we are seeing like if the company is growing between 20 and 25 per cent, India has grown 5-6 per cent faster and it is going even further. That's really the way we see it going forward," Banga said.

He said India stands to gain significantly in this whole economic slowdown from an IT sector or from a digital sector perspective as the need for digital transformation is going to continue across sectors.

(With inputs from PTI)

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Updated: 20 Mar 2023, 06:31 PM IST
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