Information technology services company HCL Technologies Ltd has handed pink slips to some of the former Xerox employees in the US, who had joined the company a year ago as part of an outsourcing agreement.
When contacted, HCL confirmed the move, saying: “HCL has recently eliminated some engineering services positions that were held by former Xerox employees, who were transferred to HCL America (or HCL Tech in the US) about a year ago.”
HCL, however, declined to share the exact number of employees affected by the move.
“It’s a very small number compared to our overall US employee base of about 8,000 and our nearly 90,000 global employees. It’s also a small percentage of those initially transferred from Xerox to HCL,” the company said in a statement.
Xerox and HCL in June 2011 signed a five-year outsourcing contract under which Xerox outsourced a sizable amount of its engineering works and some 600 employees to HCL.
The company said the affected employees will be adequately compensated.
“While these decisions are difficult to make, we are working closely with those affected to provide the proper assistance that will ensure a smooth transition. We continue to expand our US operations in other practice areas and locations and expect to continue hiring to support client demand in these areas.”