• Investment World
• eWorld
• Catalyst
• Mentor
• Life
• Canvas
• Praxis
• Urban Pulse
• Brand Quest

Chitra Phadnis

BANGALORE, Feb. 21

DESPITE the jitters caused by the New Jersey Bill opposing outsourcing of work to other countries and the possibility of other States in the US following suit, multinational companies, in the IT sector at least, are actively stepping up recruitments in India. Oracle, Sun, Accenture, Sapient, EMC, CSC, Ittiam, and i2 are all on the lookout for talent in India.

The companies are quick to point out that it is not just the cost factor that is attractive, but also the talent. When they happen to come together, it is a combination hard to resist, they say.

"India is now a brand name in software. All these are the differentiating factors, especially when the situation is tight," said Mr Satta Dasgupta, Vice-President, Ittiam Systems.

IT services major, Computer Sciences Corporation (CSC), is expected to double its manpower in India. The company, which has a centre in Indore, also outsources software development to other low-cost destinations in Australia, Canada, Singapore, Malaysia and South Africa.

The Human Resource Manager, CSC India, Mr Anuj Kumar, said that the company expected "more than double the business out of India".

The interesting part is there seems to be a shift in the kind of work coming to India too. CSC, for instance, said that it was moving "more crucial and mission critical work to the country."

Storage company, EMC, which currently has 20 engineers in India, is planning to take more people, though the company refused to give out the exact numbers. "India is a part of the bigger strategy both as a market and as a resource and is definitely important," said HR Manager - India and South Asia, EMC, Mr Zubin Shroff.

India was a "more viable business option" with its abundance skilled workforce and the opening up of multiple facets (such as call centres), he said.

In i2 Technologies, the move goes back two years, when the company launched its M2I (Move To India initiative). Since then, the company shifted 200 employees to India and 60 per cent of its core product development work.

"We plan to take this up to 70 per cent," said Mr Sankalp Saxena, Country Head Supplier Relationship Management & Transaction Platform Group, i2 Technologies, emphasising that the kind of work coming to India was definitely not "low-end stuff".

The company also laid off large number of people in the US and the headcount came down from 6,500 to 2,900. CSC too admitted that there was "to an extent" a corresponding downsizing in other more expensive countries. However, "more work is flowing to India because of new growth and new business," CSC's Mr Kumar was quick to add.

Recruitment agencies see the market conditions as the primary reason for the trend. "IT budgets are not going up and jobs are shifted from the US to India," said Mr K Lakshmikanth, CEO of Prized Jobs, a recruitment agency. "For every person they recruit in the US, they can get three people in India," he said.

Article E-Mail :: Comment :: Syndication

Stories in this Section
ChrysCapital to invest in Ephinay

Copyright © 2003, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line