With the general strike for statehood for Telangana continuing in Andhra Pradesh (AP), the IT and ITES Industry Association of AP (ITsAP) is worried as attendance in companies dwindles because of the stir.

The two-week old strike that attracted support from employees of AP State Road Transport Corporation and Singareni Collieries has brought public transport and power supply to a standstill. Besides, roadblocks, impromptu dharnas and bandhs have also hit employee turnout.

All this has raised cost of operations as firms are forced to look for alternative modes of transport and power. “It costs double to use diesel generators for power. Firms are hiring more cabs to ferry critical staff,” Mr L. Suresh, President of ITsAP, told Business Line.

Prolonged stir may hamper job prospects, too. The industry, which employs three lakh people, was to hire about 25,000 people this year. “There could be some impact definitely. Increased cost of operations will have an impact on the profitability of firms,” he said.

The managing committee of the association met recently and discussed the impact of the continuing struggle for statehood on the IT and IT-enabled services companies in the State, Mr J.A. Chowdary, who represents The Indus Entrepreneurs, said.

“We have sought appointment of the Chief Minister, Mr N. Kiran Kumar Reddy, to apprise him about of the developments and relate our difficulties,” he said.

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