Srinivas Kandula, the India CEO of Capgemini, recently stated that since majority workforce employed in this sector cannot imbibe the required skill sets to facilitate the aggressive invasion of digital technologies, around 65% of the mid to senior level employees will end up losing their jobs.
The India CEO of Capgemini, the French multinational IT consulting corporation, Srinivas Kandula, warned that aggressive invasion of digital technologies in IT industry will lead to high job losses at the middle and senior levels. Kandula indicated that this digital transformation is shifting the nature of work and since majority workforce employed in this sector cannot imbibe the required skill sets, around 65% of the mid to senior level employees will end up losing their jobs.
Speaking at the annual Nasscom leadership summit, Kandula said, “I am not very pessimistic, but it is a challenging task, and I tend to believe that 60-65 per cent of them are just not trainable."
He also expressed concerns over the quality of the IT workforce and said much of 3.9 million employees in IT industry come from low-grade engineering colleges which do not follow the rigorous grading patterns for their students in their effort to maintain good records.
The India CEO of Capgemini that has about one lakh engineers in India also said that this IT industry, driven by yield-seeking investors, has not invested enough to upgrade the skill-sets of its employees. He also added that more number of students are now being hired from lower grade engineering colleges, which has ensured that the rise in wages has been negative by a huge margin.
The quality of the students who are coming in is so bad that many of them are not able to answer when asked about the subjects taught to them when they were in the final semester of their engineering degrees, he said.
"For some unknown reasons, we call it a knowledge-driven industry. If you have that kind of talent, and then making them learn the existing technology itself is such a huge challenge," he said.
These remarks have been made after the industry lobby Nasscom stated that there is a need to re-train up to 1.5 million or approximately half of the workforce in IT sector. This is primarily on the back of a change in nature of work in newer, digital technologies. Also, about a month back a study found out that as much as 80 per cent of engineering graduates are unemployable.
Before this, Kandula also clarified that his company would shift focus to hiring freshers from the laterals earlier due to the newer skill-sets which are required and the ease of training which the freshers offer. He, however, had maintained that the company will continue to hire.