Jobs under fire
Measures like layoffs and retrenchment, which in normal times would have attracted lots of criticism, are now being conveniently fobbed off by managements under the pretext of recession.
Corporate India is using the current economic slowdown to get rid of the slow-rolling stones before they start to gather fungus (BT cover, March 8). Measures like layoffs and retrenchment, which in normal times would have attracted lots of criticism, are now being conveniently fobbed off by managements under the pretext of recession. One wonders if the recession is to be blamed for the layoffs or whether layoffs and a shrinking production are the causes of the economic slowdown.
Salary cuts over layoffs
The current global economic recession is particularly intimidating. Worries about job security has heightened palpably in recent months with the axing of many jobs in various sectors. (BT cover, March 8). Even as all of us fervently hope that we do not lose jobs, everyday we see the crisis affecting our friends all around us. So, are we really geared up to face the challenges of the global economic meltdown? With companies having to survive on thinning profits and sales, managements see slashing manpower as vital to their own business strategy and survival. If organisations resort to retrenchment rather than salary deduction, one wonders how the aam admi will survive.
Cleaning the Aegean Stables
Inside the secret world of auditing (BT cover, February 22) gave an in-depth account of the auditing profession in India. I hope your feature sets the tone for detailed discussions at the highest levels in the Ministries of Finance, Law and Commerce. The need of the hour is to craft a superior strategy that not just upholds the norms of the profession but also protects the interests of all the stakeholders in Indian companies. Accounting norms in India are still very opaque and shrouded in secrecy. If these shortcomings are not set aright, fears of many more Satyam-like frauds breaking out in the future wouldn’t be entirely misplaced. After all, the Satyam scandal was not an accident due to innocent distortion of facts but a carefully orchestrated scam carried out by wilful design and through outright falsity on the part of its PwC auditors.
20 stocks to watch out for in 2009 (BT, February 22) was both informative and timely. But I think there was a preponderance of Nifty stocks in your survey. Also, a sector-wise approach and providing details of the companies whose stocks made it to your list would have added more value to the feature. I’m sure readers would like to know more about the history and background of these companies, their performance and the state of their balance sheets over a period of time. I, for one, was looking to learn more on companies like Manappuram General Finance and Mundra Port, whose stocks made it to your list.
— From priyank_chhedabhai@yahoo.com
Infosys’ no Prima Donna
Notwithstanding Claude Smadja’s assertions regarding Infosys’ much vaunted cutting edge in IT services, the company can no longer claim to be the darling of the Indian IT industry (Infosys’ Bold Global Ambition, BT, February 22). All his pep talk cannot blind us to the hard reality that Infosys continues to be run by mostly old hands and the VIP’s (Vested in Peace Employees), whose management style and philosophy isn’t in sync with the needs of today’s fast-changing IT environment. Needless to say, if Infosys wants to maintain its once-fabled edge, it needs to infuse fresh ideas to its approach and outlook. Other IT companies in India, like Cognizant (that started 13 years after Infosys), are already giving Infosys a run for its money. If media reports are to be believed, Cognizant looks set to sprint past Infosys in terms of incremental revenues. The change in Infosys’ fortunes is indicative of its diminishing aura. A once-nimble organisation, Infosys is turning stodgy by the day.
How to contact Business Today
— Divya Taneja, through e-mail
Salary cuts over layoffs
The current global economic recession is particularly intimidating. Worries about job security has heightened palpably in recent months with the axing of many jobs in various sectors. (BT cover, March 8). Even as all of us fervently hope that we do not lose jobs, everyday we see the crisis affecting our friends all around us. So, are we really geared up to face the challenges of the global economic meltdown? With companies having to survive on thinning profits and sales, managements see slashing manpower as vital to their own business strategy and survival. If organisations resort to retrenchment rather than salary deduction, one wonders how the aam admi will survive.
— Aarifa Khan, through e-mail
Cleaning the Aegean Stables
Inside the secret world of auditing (BT cover, February 22) gave an in-depth account of the auditing profession in India. I hope your feature sets the tone for detailed discussions at the highest levels in the Ministries of Finance, Law and Commerce. The need of the hour is to craft a superior strategy that not just upholds the norms of the profession but also protects the interests of all the stakeholders in Indian companies. Accounting norms in India are still very opaque and shrouded in secrecy. If these shortcomings are not set aright, fears of many more Satyam-like frauds breaking out in the future wouldn’t be entirely misplaced. After all, the Satyam scandal was not an accident due to innocent distortion of facts but a carefully orchestrated scam carried out by wilful design and through outright falsity on the part of its PwC auditors.
— B. Rajasekaran, through e-mail
The pick of the lot20 stocks to watch out for in 2009 (BT, February 22) was both informative and timely. But I think there was a preponderance of Nifty stocks in your survey. Also, a sector-wise approach and providing details of the companies whose stocks made it to your list would have added more value to the feature. I’m sure readers would like to know more about the history and background of these companies, their performance and the state of their balance sheets over a period of time. I, for one, was looking to learn more on companies like Manappuram General Finance and Mundra Port, whose stocks made it to your list.
— From priyank_chhedabhai@yahoo.com
Infosys’ no Prima Donna
Notwithstanding Claude Smadja’s assertions regarding Infosys’ much vaunted cutting edge in IT services, the company can no longer claim to be the darling of the Indian IT industry (Infosys’ Bold Global Ambition, BT, February 22). All his pep talk cannot blind us to the hard reality that Infosys continues to be run by mostly old hands and the VIP’s (Vested in Peace Employees), whose management style and philosophy isn’t in sync with the needs of today’s fast-changing IT environment. Needless to say, if Infosys wants to maintain its once-fabled edge, it needs to infuse fresh ideas to its approach and outlook. Other IT companies in India, like Cognizant (that started 13 years after Infosys), are already giving Infosys a run for its money. If media reports are to be believed, Cognizant looks set to sprint past Infosys in terms of incremental revenues. The change in Infosys’ fortunes is indicative of its diminishing aura. A once-nimble organisation, Infosys is turning stodgy by the day.
— V.C Venkatesh, through e-mail
How to contact Business Today
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