Major US media outlet outsourcing IT jobs to India: Report
Washington, May 18: A major American media company which owns prestigious dailies like Los Angeles Times and Chicago Tribune will outsource a part of its IT component to Indian software giant TCS, according to a media report.
Chicago-based Tribune Publishing Company said it has informed its IT employees last month that it is moving work to India-based IT company Tata Consultancy Services (TCS), a news report in Computer World said yesterday.
However, it did not say the number of employees would be hit by such a move. "IT employees at Tribune Publishing say they received warning of the outsourcing late last year.
In April, they were told that over an 18-month period, Tribune would be moving to information technology outsourcing across its business, according to employees contacted," the report said. The layoffs are expected to happen in the summer or fall season, it said, adding that TCS will offer jobs to some of its employees.
A Tribune Publishing spokesman told Computer World that the company has made the strategic decision to outsource key functions of its legacy information technology department to create a more agile operating environment and to drive its overall business transformation.
"This decision will allow us to better serve our customers, improve our systems and capabilities and create more opportunity for innovation.
We thank all of our dedicated employees for their commitment to a seamless transition," the spokesperson was quoted as saying. Yesterday, Tribune Publishing confirmed that it has received an offer of all cash buy out acquisition from Gannett, a major American publication that owns among others the iconic The USA Today.
Tribune Publishing owns several top US daily newspapers including The Los Angeles Times, Chicago Tribune and The Baltimore Sun.
The India outsourcing of jobs by Tribune Publishing comes on the heels of a similar move by McClatchy which among others owns newspapers like The Miami Herald and The Sacramento Bee to another Indian IT company Wipro.
Notably, some of these newspapers have been vocal critic of outsourcing of jobs to India. The move would affect between 120-150 IT employees, according to the report.
Such a move might also have an impact on coverage of H-1B visas issues by these media outlets, it added.