L&T Technology Services (LTTS) has allegedly terminated 200 employees as part of its performance cycle. The primary aim of these layoffs is to mitigate role overlaps specifically in mid-to-senior positions.
The company follows an annual performance-review process to evaluate the workforce’s capabilities and takes appropriate actions based on skill sets and performance. This practice is deemed crucial for maintaining high service standards, continuous upskilling, organisational agility, and staying at the forefront of technological innovation.
The staff reductions primarily occurred in delivery and support functions, and are reportedly a consequence of automation of various operations.
As reported by TOI, a spokesperson from the tech company emphasised that despite the current situation, the company’s ongoing hiring strategy is aligned with its growth prospects. The company plans to hire over 2,500 engineers, particularly in plant engineering, digital and software engineering, AI, and software-defined vehicles.
The report also stated that there’s a possibility of another round of job cuts at L&T in January, pending an evaluation of the business environment. The company currently employs around 24,000 individuals.
In the previous month, the company revised down its revenue growth forecast for the ongoing fiscal year. Although the company reported a five per cent rise in net profit to Rs 315.4 crore for the September quarter, it adjusted its revenue growth guidance downward for the current fiscal period.