this is about how the job actually cuts in IT firms due to several reasons

1. Job cuts in IT Firms

2. Introduction
 Job Cut: Job cut refers to the act of
reducing the workforce of a company
or organization by eliminating jobs or
positions.
 This may involve employee layoffs,
terminations, or job role reductions,
often as a cost-saving or
restructuring measure.

3. Types of job cut
Layoffs:-Layoffs involve the termination of employees
due to a reduction in the workforce. This can affect
individuals in various roles and departments, including
software developers, project managers,
and support staff.
Retrenchment:-It is a term used in the context of
employment and labor relations to describe the
process of reducing the size of a workforce, often by
terminating employees.

4. Reasons Job cut:-
 AI and automation technologies excel at automating
routine, repetitive tasks, such as software testing, data
entry, and system monitoring. This leads to a reduced
need for human workers in these roles.
Reasons why company shift to AI:-
 Cost Reduction
 Increased productivity
 Reduction in low skilled IT roles.
 Example of company :-
Wipro, Tech Mahindra
AI & Automation :-

5. Cost Cutting :-
Companies may implement cost-cutting
measures in response to financial challenges,
which can include reducing IT staff.
Reason Behind cost cutting :-
1). Financial distress of company can lead to
cost cutting
2). when there an economic downturn
company mast likely to enact cost
cutting measure
Example:- Byju’s & Meta

6. Global Event
 A "global event" is a significant happening that
impacts and is relevant to the entire world,
transcending national boundaries. These events
have far-reaching consequences and often attract
worldwide attention.
 Some of global event :-
 COVID-19 Pandemic
 Russia –Ukraine War
 Israel-Hamas War
 Example of Company Major Impact :-
Tech Boom , IBM

7. Shift In Technology
 A shift in technology in an IT firm refers to a significant
change or transition in the tools, platforms,
methodologies, or frameworks used to develop, manage,
and deliver IT solutions. This could involve adopting new
programming languages, cloud computing services,
development frameworks, or other technological
advancements.
 Reason ----
 1) market trends may necessitate the adoption of new
technologies to meet evolving customer needs
 2) New technologies can sometimes offer cost savings or
more efficient ways to deliver services or products.

8. Conclusion
 job cuts in the IT sector are a multifaceted issue driven by economic,
technological, and global factors. While they present challenges, they also
create opportunities for growth and adaptation. IT professionals can thrive
by upskilling and embracing change, and government and industry
initiatives provide valuable support. The future of the IT sector remains
promising for those who remain agile, informed, and open to change.

9. References
 https://economictimes.indiatimes.com/
 https://livmint.com/
 https://www.livemint.com/companies/people/it-layoffs-20-companies-
making-big-job-cuts-this-year-11669867504353.html