Tech company Cognizant will soon be giving the pink slip to 3,500 employees, a Money control report says. CEO Ravi Kumar S unveiled the IT major’s plans to let go of thousands of employees in order to reduce costs. Not only this, the company will also be giving up 11 million sq feet in office space to bring the cost down further. The Money control report also says that Cognizant has said that its revenues will see a decline in 2023. The report also adds that the company’s margins are amongst the lowest in the industry at 14.6 percent.
The Moneycontrol report states that the laying off of 3,500 employees and cutting down on office spaces are amongst the measures unveiled by CEO Ravi Kumar S as he seeks to revive the company that faces major competition from Accenture, Infosys, and TCS. As of now, it is unclear how many people in India will be impacted by the decision.
Ravi Kumar S, who previously worked as the president of Infosys, assumed his role as Cognizant’s CEO on January 12 this year. The company’s former CEO, Brian Humphries, was “involuntarily terminated” and the news came as a surprise to all.
Meanwhile, Cognizant had recently announced that it had terminated its former CEO ‘without any specific reason’. The announcement was made as part of the IT company’s 2023 proxy statement.