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IT cos cut transport cost to offset

Unable to bear the increased transportation expense after the fuel price hike, IT companies here have begun charging employees for travel and cutting the number of cabs.

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BANGALORE: Unable to bear the increased transportation expense after the fuel price hike, IT companies here have begun charging employees for travel and cutting the number of cabs.

Infosys BPO, which revised pay in April this year, included a transport allowance of Rs1000, but, at the same time, began charging employees Rs800 to Rs1,000 depending on the distance of travel.

Sasken Technologies Communications Ltd amended the policy of sharing transport cost between employees and the company.

“The company and employees will now share the cost equally as against the earlier ratio of 60:40,” Abhinav Alok, manager, branding and communications, said.

At 247 Customer Care, work shifts were altered, though temporarily, to mitigate the effect of the fuel price hike, Pradeep Narayan, president, new services and global chief of the company, said. The employees, however, have not been able to adapt to the changes.

“I have returned the company pass and begun travelling by city bus,” Shivakumar M said. Also, employees are increasingly opting for carpooling.

NASSCOM chief executive Ganesh Natarajan admitted the adverse effect of the fuel price hike on IT companies but said it was business as usual. “Cutting nonessential expenditure is the need of the hour. Companies can also make use of video-conferencing,” he said.

Travel agencies, who went on a strike earlier this week demanding a hike in commission, however, appear to be okay with the changes.

“IT companies are increasingly hiring less number of cabs. Apart from carpooling, we
have been asked to run one cab on three routes, instead of one route. Most employees have been put in the general shift,” SRS Travels CEO KT Rajashekhar said.

SRS has employed over 1,000 drivers to cater to 88 IT companies across India.
k_bhargavi@dnaindia.net
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