Sasken initiates 20% pay cut

BANGALORE: Sasken Technologies,a telecommunication software and services firm

has cut pay across the board for all its employees by 20 per cent. According to

press statement, the salary cut instituted is "a partial roll back of the

salary increase extended in April 2001." The move is also because of the

slowdown in the telecommunication industry which is the primary focus of

Sasken's business.

Sasken chairman and CEO Rajiv Mody, in the press statement has quoted,

"With this definitive measure that is keeping with globally accepted

practices, Sasken is confident of achieving "Operational Excellence"

that is mandatory to retain its leadership position. Sasken continues to invest

in building its offerings and intellectual properties portfolio that will enable

it to continue to be India's foremost provider of innovative technologies and

products for world markets."

During a recent press conference, Sasken, had announced that it is in final

rounds of talks with some investors for private placements in the company,

however the size or the value of the placement was not disclosed. The investment

from the private placement is to be utilized to repay the term loans, acquired

during the setting up of its sprawling new infrastructure in Bangalore.

Sasken had announced a tie up with Intel for jointly developing solutions in

the space of WiNGS(Wireless

Next generation Services). Sasken has over 1,100 people and ended its financial

year with $ 31.13 million for the financial year, March 2001. Headquartered in

Bangalore, the company, has offices in Canada, Japan, UK, USA and Sweden.