No layoffs at Satyam: Karnik

Satyam chairman Kiran Karnik has ruled out the possibility of layoffs at the beleaguered IT company. Alternate ways to pull the company out of its financial troubles are being discussed, he says. “Both the Satyam and Tech Mahindra managements have unanimously decided not have layoffs. We are working on several other possible solutions to mitigate the current situation,” Karnik said.

These comments come close on the heels of Tech Mahindra CEO and MD Vineet Nayyar’s observation that Satyam had about 10,000 employees too many.
Amongst the various options being discussed by the two companies, cutting salaries and rationalising resources tops the priority list. “Tough decisions would have to be made. We are working on options like reducing remunerations and sending employees on sabbatical to work ourselves out of the situation,” Karnik disclosed.