the gem of india’s service sector and of country’s export constellation is in the midst of an inevitable calamity. the scene is far more alarming than it appears at its face, and if corrections aren’t introduced promptly and forcibly, the ripple effects will be felt across the economy.
in short, indian it isn’t just driving the service sector and exports, it has also fueled real estate, tourism and hospitality, textile and automobiles, thanks to unprecedented salaries drawn by mid-level, top echelon and even entry level staff in some cases.
factors are many, to count a few are automation that will spark a war against human resource, india’s hefty dependability on outsourced projects from united states and many european and asia-pacific countries that is slowly subsiding owing to a backlash from nationalistic fervor and diminishing globalisation, sub-standard and outdated skills of indian workforce that works more in factory-styled way.
the cherry on the top is heavy pay packages of it employees that have now turn unmanageable, all owing to lessened outsourcing, further fueled by thousands of engineers graduating every year and having studied obsolete lessons.
this group comprising of it professionals drove boom in real estate by purchasing flats, in automobile sector and in consumer electronics, besides many goods and services produced in the economy. thus, the collapse of indian it will not only rupture one sub-sector, it will be detrimental to the entire economy.
and in light of prevailing circumstances, chances of infusing a new breath of life are minimal. from reworking salary packages to undertaking massive skill development and a renewed focus on domestic assignments, overhauls are many, but the will lacks.
the only saving lot in this gloomy picture is the bpo wing that although isn’t viewed with as much dignity as the it wing, but the basics of bpo (since it solves everyday problems that need manual and basic interventions by comparatively less-paid employees) are far more resilient and long-lasting.
for it sector, it’s high time they mend their ways or their earlier than anticipated departure is inevitable, an event that may be a giant blow to india’s overall economic and financial well-being.