As part of a restructuring exercise, Cognizant will cut around 7,000 mid to senior-level jobs in the coming quarters. As the company exits from the content operation business, earlier 6,000 employees had already got axed.
With the new decision, in total, more than 10,000 to 12,000 mid-to-senior level employees will be laid off from their current roles.
But company has also decided to invest in the reskilling and growth of some of the employees. “The gross net reduction of employees will be 5,000 to 7,000 roles,” Humphries said, explaining that around 5,000 staff would be reskilled and deployed.
But this does not include the 6,000 employees who will be affected by Cognizant’s decision to get out of content operations business. The move is a part of restructuring effort undertaken by Humphries to restore Cognizant to its former glory. These efforts, the management said will result in the cost saving of $500-$550 million, primarily arising from layoffs in the senior management level and change in sales personnel compensation model.