Wipro says US layoffs an ‘isolated incident’

Wipro Ltd. has laid off 120 people in Tampa, Florida, due to “a realignment of business needs,” even as it grapples with staffing challenges at home.

The layoffs were first reported by Channel Futures, a U.S.-based media platform focused on the information and communication technology industry.

The Wipro layoffs are detailed in a Worker Adjustment and Retraining Notification notice filed with the Florida Department of Economic Opportunity. The cuts are at one location in Tampa. More than 100 of the impacted employees are processing agents, while the rest are team leaders and a team manager.

“Wipro has reduced headcount in Tampa, Florida, due to a realignment of business needs,” a spokesperson told BQ Prime in an email. “This is an isolated incident. Wipro Ltd. remains deeply committed to the region, and all other Wipro employees serving clients in the Tampa area remain unaffected.”

The layoffs, which are permanent, will start in May.

The job cuts come days after Wipro opened its North American headquarters in East Brunswick, New Jersey. The Bengaluru-headquartered IT company had about 20,500 employees in the region. Its total headcount stands at 2,50,000 employees across 66 countries.

The Americas region makes up nearly 60% of Wipro’s global revenues.

Wipro has been grappling with staffing issues at home as well. According to media reports, the IT firm has cut salaries offered to freshers who are awaiting onboarding. It reportedly asked those who were offered Rs 6.5 lakh per annum to join at Rs 3.5 lakh per annum. An IT employees’ union has called the move “unjust” and “against the principles of fairness and transparency”.

On Monday, shares of Wipro fell 2.46% to Rs 367.20 apiece on the BSE, even as the benchmark Sensex ended the day 0.62% lower at 57,628.95 points. Bloomberg