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Thursday, 5 October 2023

HR News: 06 Oct, 2023

1.

Snapchat & Fi announce workforce reductions as part of restructuring

Snapchat plans to lay off about 150 employees in its AR division, while Fi, the neobank, has cut 10% of its workforce in a strategic restructuring. Snap, the parent company of Snapchat, is reportedly planning another round of layoffs, with approximately 150 employees expected to be affected. This move is part of a restructuring exercise within within Snap’s augmented reality (AR) division, marking the second round of layoffs this year. Snap has faced financial challenges and investor concerns, leading to these job cuts. However, it’s important to note that this round of layoffs primarily targets Snap’s AR division and is seen as a strategic reorganisation rather than a complete shift away from AR strategies. Evan Spiegel, CEO, Snap, initiated significant layoffs in 2022, affecting 20% of the workforce, as the company grappled with slower revenue growth and a changing market landscape. While Snap’s revenue for Q2 this year improved compared to the previous quarter, it remained lower than the same period last year. In Q1, the company experienced its first drop in revenue since going public, with a seven per cent decrease in sales.

Neobank, Fi has cut its workforce by 10 per cent, letting go of 30 employees as part of a strategic restructuring. This makes it the second neobank, after Open, to conduct layoffs this year. The bank’s restructuring reportedly aims to refocus on key growth areas, enhance core product features, streamline operations and make the future more sustainable. The departing employees will receive comprehensive support, including several months of severance, extended healthcare coverage and prolonged ESOP vesting.

 

2.

Indian aviation agencies undergo significant workforce expansion

The DGCA, overseeing civil aviation, is expanding its workforce with 416 new positions, of which 114 are already filled by qualified professionals for enhanced safety and compliance. The Ministry of Civil Aviation (MoCA) has introduced a range of initiatives to strengthen the institutional framework and enhance the workforce in critical aviation organisations, incluidng the Directorate General of Civil Aviation (DGCA), the Airports Economic Regulatory Authority (AERA), and the Airports Authority of India (AAI), according to officials. The DGCA, which oversees and regulates civil aviation in the country, is in line to receive a substantial increase in its workforce. A total of 416 new positions have been created within the DGCA, marking a significant stride in ensuring safety and adherence to regulations within the aviation industry. This expansion is being implemented gradually, with 114 of these positions already occupied by qualified professionals.

 

3.

5-day work-from-office for TCS staff starting 1 October

The work-from-home policy has been discontinued. Tata Consultancy Services (TCS) has discontinued work from home for its employees. It has put an end to the hybrid work model too by mandating that employees work from office five days a week starting 1 October 2023As per media reports, those who were earlier coming in to office thrice a week will have to start coming in five days. There is no choice given in the matter. Earlier this year, TCS had issued a warning to its employees to comply with the company’s work-from-office policy, apart from asking them to work in the office for three days a week. It made it clear that strict action would be taken if they failed to follow the rules.

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