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Narayana Murthy trashes AI as hype, asks IT leaders to be less greedy

Terming the trend of no hikes for juniors and freshers as "worrisome," Murthy rued that the senior level people have been taking handsome hikes

Press Trust of India  |  Mumbai 

Narayana Murthy
N R Narayana Murthy, co-Founder, Infosys

and NR has flayed the high wage hikes that senior managements have been apportioning to themselves when the is in trying times and has advised them to make "sacrifices" to maintain common man's faith in Conceding that times are difficult for the IT services sector, dismissed the commonly attributed threats of and as "more hype than reality". Terming the trend of no hikes for juniors and freshers as "worrisome," rued that the senior level people have been taking handsome hikes. "I think that is not the way to make acceptable to the larger masses in a country that has huge poverty," he said, speaking at the IIT-over the weekend. "If we believe in capitalism, if we believe that is the best solution for the country to move forward, then the leaders of will have to demonstrate self-restraints in apportioning to themselves the part of the benefits that come out of running companies, Murthy, who mostly flies the class, added. Murthy, a strong proponent of "compassionate capitalism" since his days in the company, did not make any reference to It can be noted that over the past few months, had gone public with his displeasure over at Speaking before the students at the prestigious institute, said in the last seven years, the salaries of freshers in the have stayed stagnant while the same for senior-level employees have grown by up to 1,000 per cent. "If all of us make sacrifices, then the youngsters will understand," he said. He said the IT sector is passing through a trough that is cyclical in nature and may occur once a few years. One of the reasons for this is the investments in IT done by the developed world clients in the past, he said, adding they are waiting to reap the benefits of the same before starting to invest again. However, change in the technological landscape where and are said to be making deeper in-roads was dismissed by him. "There is this whole thing about and That is much more hype than the reality, at-least in the software services," said. The domestic IT sector employs over 4 million directly and its revenues have crossed over USD 150 billion, according to industry lobby The lobby warned that the rate of hiring is slowing down, while some IT concede that a fewer number of people are required to do the work for the same revenue billing. Many industry reports had in the past highlighted steep decline in hiring in the primarily because of which has been eating up tens of thousands of human jobs annually.

So far this fiscal year, there has no net increase in hiring by the industry.

First Published: Mon, December 25 2017. 01:14 IST
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