Siemens to axe 15,000 software jobs globally

The euro 75 billion Siemens AG is looking at axing more than 15,000 of its software jobs in high-cost countries and move them to low-cost centres like India, China and the Eastern European countries.

Speaking to the media in Bangalore on Monday, Siemens India managing director Jurgen Schubert said: "Siemens AG has more than 30,000 software engineers across the globe and more than half of them sit at high-cost centres such as the US and in Western Europe. A decision has been taken to move these jobs to low cost centres such as India, Eastern Europe and the dark horse China."

"It is inevitable there will be job losses at high cost centres and this is the reality," he added.

Commenting on how of these jobs will relocate to India, Siemens Information Systems Ltd (SISL) managing director Anil Laud said: "We are currently 1,800 strong and we will easily reach 2,000 by September of this year. We are looking at 30 per cent growth each year on a constant basis."

He further added that some projects has already started to move to various low cost locations and SISL through a consortium is already working on SAP implementation at Bangkok airport.

Siemens currently employs 10 per cent of the 30,000 software professionals through the three software companies it operates in India.

SISL is also looking at extending its campus in Bangalore by building a second tower at Electronics City and is looking at integrating its various locations in Bangalore.

The company, which recently won a project to manage EPF subscribers' easy accessibility into their data through smart cards, is at an advanced stage of implementation throughout the country.