Satyam to terminate lease contracts
By siliconindia   |   Tuesday, 16 June 2009, 23:58 IST   |    2 Comments
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Satyam to terminate lease contracts
Bangalore: Fraud-hit Satyam Computers will cut real estate costs by terminating the lease contracts of four of its facilities in Hyderabad. It was confirmed by a Satyam employee saying, "We have sent notices to the property owners and we should be moving out of the four leased premises in Hyderabad this month." These facilities accommodate 3500 employees, who will then be moved to the two company-owned campuses. Apart from this the company will also be closing three of its Bangalore offices and two Chennai offices this month. The saving from these will add up to at least 100 crore. The Spokesperson said that this cutback is being made in anticipation of the "Virtual Pool" programme which will allow employees to take at least six months leave on reduced salary. Around 7500 associates have been shortlisted for the programme and these include those who have not been in billable roles for three months and support resources. As of March 28, 2009, Satyam had 41,622 employees. The company lost over 2,340 employees in January and February.

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