US-based fintech company Fidelity National Information Services has laid off 400 employees in Pune due to internal restructuring. The employees are entitled to severance compensation. The development comes after it was reported that FIS was planning to cut thousands of jobs as the company’s shares had fallen by 44 percent.
In accordance with the terms of the termination letter, You will be entitled to receive a severance compensation calculated at the rate of one (01) month of your base salary for each completed year of continuous service with FIS (up to a maximum of twelve (12) months), and the same shall be paid to you within five (5) working days from the Separation Date. It is reportedly said that the firm was aiming to restore investor confidence by reducing headcount randomly.
The company's newly appointed CEO, Stephanie Ferris, had plans to make drastic cost cuts to appease investors, Bloomberg reported. The company also reportedly targeted $500 million in cost savings through its enterprise transformation program.
It is important to note that the IT and fintech firm has recently experienced financial difficulties. The stock of the fintech startup has fallen about 45% year so far, less than the S&P 500's 17% decrease during the same time frame. Stephanie Ferris, the organization's recently appointed CEO, intended to make significant expense cutbacks in order to please investors, according to Bloomberg. A $500 million cost reduction goal was allegedly set by the corporation for its business transformation effort
