Wipro goes for cost-cutting measures

By siliconindia   |   Tuesday, 24 February 2009, 19:48 IST   |    4 Comments
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Hyderabad: Wipro joins the bandwagon of cost cutting measures. The IT services major today has announced that it has employed 30 cost-cutting measures, especially in the area of operational efficiency, to tackle the current downturn. Since the third quarter of this financial year, the company has adopted the measures "like any other sane-minded organisation," said Pratik Kumar, executive Vice-President (human resources). "We had done cost cutting at every opportunity earlier. However, we are now doing it more aggressively given the current scenario 'in a very innovative way'," said Kumar. The cost-cutting initiatives include reducing or cancelling executive business trips. Wipro is taking this opportunity to promote video conferencing as one of the ways of cutting costs to reduce business travel expenses. A Wipro spokeswoman said, adding that the company's utilization rate for the third quarter was 79.6 percent, which will be increased further in the coming months. Kumar said the company will honor the hiring commitments with 'no timeframe and on the basis of requirement'. Wipro had given a hiring guidance of 8,000 for fiscal year 2010. It had a gross hiring of 1,944 in the third quarter of this year. "We are not making fresh offers and at the same time are not completely freezing on hiring. We will honor the committed offers by June-July. If that doesn't happen, they will spill over into the next year," Kumar said. "It is a question of going back on your offer or honoring it. We have communicated to the freshers giving them a broader indication on when it will happen."