India’s IT and BPO industry leaders applauded the government’s decision to relax the guidelines so IT and BPO companies can have permanent homes / workplaces from anywhere and change the game that creates millions of urban jobs.
Prime Minister Narendra Modi announced on Thursday a series of measures aimed at promoting “ease of doing business” and turning India into a technology hub. In this regard, the government has tightened the guidelines for other service providers or OSPs in the telecommunications department, which would reduce the compliance burden on the IT and BPO industries.
In response, Debjani Ghosh, President of Nasscom, told ET NOW: “This is one of those groundbreaking moments. It will be a strategic turning point for the industry and greatly strengthen India’s competitive advantage. This strengthens India’s position as a strategic IT hub for the world and generates more investment. This benefits companies of all levels: anyone who needs to use a corporate network, remote work, IT services, BPO, multinational companies. “
Rishad Premji, President of Wipro, said: “This is really long-term and forward thinking government thinking that will make our tech industry even more competitive. Working from anywhere has become a new reality and thank you. For seeing that.” .
At the same time, CP Gurnani, CEO of Tech Mahindra, described it as an essential reform for the IT industry.
WNS CEO Keshav Murugesh said it would take India’s IT and BPM to higher levels of growth and lead to job creation and small town development at Tier 3 and 4 locations. Tiger Tyagarajan, CEO of Genpact, said the goal of making India a technology hub is incredibly timely and will benefit the country.
While the government had previously relaxed work-from-home guidelines by the end of the year, the news will significantly reduce the burden of compliance on the BPM industry. The registration requirement for OSPs has been removed entirely. The BPM industry dealing with data-related work was completely outside the scope of the definition of an OSP. Furthermore, requirements such as the deposit of bank guarantees, frequent reporting obligations and penalties, etc.
The IT and BPM sector is the main driver of job creation in the private sector in India. According to Nasscom, India’s tech industry had sales of $ 105 billion and more than 2 million employees in fiscal years 2009-2019. Women now account for more than 35 percent (1.4 million) of the industry’s share of the total workforce.