India is not just a bright spot in a global economy shadowed by the dark clouds of recession, inflation, and geopolitical tensions, but its IT firms have also been withstanding the layoff wave. But while giants such as Infosys and Wipro can resist job cuts, thousands of Indians working for global tech firms and local startups have been laid off.
Now the Indian Staffing Federation has revealed that 60,000 contract workers who were outsourced by IT firms have also lost their jobs because of the global downturn.
Global headwinds causing turbulence in India
Indian firms in the sector may be holding on to full time workers, but at the same time, the number of people hired via contractors has dropped by 7.7 per cent.
This means that the global tech layoff has finally hit the IT flexi staffing sector in India.
Flexi staffing is a term used for hiring of people on a temporary basis for a fixed period of time or for specific projects.
Other sectors doing better
But even as the $194 billion IT sector has been affected, jobs in retail, logistics and manufacturing are still secure.
Although Indian tech firms have been resisting global headwinds so far, JP Morgan has warned that supply chain issues caused by the Russia-Ukraine war will slow down their growth.
