Andhra Pradesh Industrial Infrastructure Corporation (APIIC) has reportedly issued a show cause notice to IT solutions and services firm Wipro for not generating enough jobs as promised by it.

APIIC is the nodal agency in Andhra Pradesh for development and allotment of land for companies to set up their facilities. As it allots land at a discounted price, it signs pact with companies with firm commitment on job creation.

In fact, Wipro is not the only company that received the notices on this count. Infosys too received similar notices last year for alleged failure to honour its commitment on creation of jobs at its Pocharam facility. Infosys had said that the development phases got delayed because of non-provision of basic infrastructure as promised by the corporation.

Wipro had reportedly promised to provide jobs to 25,000 people in four years (from 2007) in lieu of allocation of about 100 acres near Gachibowli. But the number of jobs actually provided was far too less, prompting the APIIC to service notices.

Wipro reaction

Wipro, however, has evaded a direct answer on question on whether the company will come up with a fresh plan with regard to job creation.

“Routine two-way engagements happen with APIIC on matters related progress of ongoing projects and also on basic infrastructure development in and around the land leased by them for us to set up and operate our IT facilities,” a Wipro spokesperson said.

As far as Wipro's IT business in Hyderabad is concerned, it is one of cities of our largest presence outside Bangalore with employee strength of over 12,000. We have also been recognised by the Government for best export performance amongst private SEZ units in Andhra Pradesh for the past two years, the spokesperson said in response to queries.

>kurmanath@thehindu.co.in

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