Part II JOB RISK Vs JOB SECURITY

Please read the first part for continuity.

The job is also as risk as our finance. The job market is also dependent on various forces of market. Due to globalization, liberalization and privatization started in 90s by Dr. Manmohan Singh as finance minister the Indian economy opened up and lot of new opportunities and jobs were created. Subsequently the Y2K problem opened up a wave of job opportunities in the software sector .These software companies became the darling of masses and everyone wanted to become software engineer..

Then came the tech bubble in 2001 and lot of people were rendered jobless and many were given pink slips. Then again the industry grow at 40% -50 % growth rate .Now the IT/ITES industry has bypassed the govt which used to employ the large number of people in employment generation. Now the IT companies like TCS etc whether you believe it or not employ more than one lakh people. The entire top tier IT companies went overdrive in their recruitment announcing 10000 to 15000 recruitments in a year. The IT/ITES industry has become the envy of others and even persons who are specilasied on other fields looked upon the IT industry as their messiah and left their job. The IT juggernaut does not leave the GOVT employees too and many of the employees left their job and joined the IT sector.

Now the US SUB PRIME issue has taken the toll on many of the banks and other financial institutions in USA and Europe and resulting in reduced IT budget meaning loss of revenue to our Desi companies. Adding to the woes are the rupee rise which has dramatically risen from the Rs.47 = US $ 1 to Rs.39 per dollar. There is an another sword hanging on their head in the form of withdrawal of exemption of STPI benefit from 2009.

These factors could play a devastating role on the functioning of IT companies and the companies will resort to downsizing their manpower and may eventually shut shop and go elsewhere where the manpower is cheaper. We are already witnessing such trend by these companies in shifting or opening up campuses in tier II Cities like Bhubaneswar, Chandigarh etc to cut cost. In such as scenario a mere 5 % job cut in top tier companies will result in around 10000 to 15000 software engineers rendered jobless. You will be forced to solve your problem and along with the huge loans taken for Housing, Car etc. Further remember no politicians is there to support the cause because they know that you are not their vote bank.

Though I hope the views may look pessimistic but the reality cannot be hidden.

Whether the employees in govt sector who are in job security evaluated these aspects before taking a call? While we take so much of care and caution for our finances for their risk and return , are we not supposed to give the same care and caution for our job ?