US-based software and communications service provider Amdocs is laying off around 1,000 employees amid uncertainties surrounding the financial recovery owing to the ongoing Covid-19 pandemic, the media reported on Thursday.
According to a report in Israeli-based website Calcalist, Amdocs’s quarterly earnings is around $1 billion and a huge part of it – nearly $691 million – comes from the US which is currently witnessing a coronavirus resurgence.
“Amdocs is planning to cut many hundreds of jobs, including senior positions,” the report said.
Amdocs employs 25,000 people globally, and over 10,000 employees are in India which is its biggest research and development hub. The company has development centres in Pune and Gurugram.
In March, the company announced to train 5,000 employees in Cloud-based technologies over the next couple of years in India.
“As a global corporation with tens of thousands of employees, Amdocs is continually making the necessary adjustments in its expenses while strategically assessing its workforce and adapting to the changing business needs,” Amdocs said in a statement.
“Amdocs is continuing to recruit employees in a wide range of sectors in which its activity is growing and investing in its growth engines while taking care of its human capital,” the company added.
In April, Amdocs notified its employees that due to the financial uncertainty, “the salary raises planned for July will not be implemented as scheduled and that all of its employees should take 13 days of paid vacation between April and June of this year”.
“As a global company we are committed to acting in a level-headed, responsible, and proactive manner,” Amdocs President and CEO, Shuky Sheffer had said in a statement.
Earlier this week, Amdocs announced that it is issuing $650 million in bonds for repayment in 2030.