HCL Technologies, a key outsourcing partner for Xerox, has announced a round of layoffs affecting many of its US-based employees, especially those in roles that bridge the gap between offshore teams and clients. While Regional Leads have been spared, most of the affected employees are those responsible for ensuring the smooth execution of tasks when offshore operations fall short.
The layoffs come as part of broader restructuring efforts at HCL, which has recently extended its involvement in Xerox’s “Reinvention” plan. This massive corporate overhaul, which includes laying off 3,000 jobs at Xerox, relies heavily on HCL’s management of Global Business Services (GBS). As part of this process, HCL is using AI and automation to replace functions previously handled by Xerox employees, a move that has led to the re-badging of entire departments to HCL’s payroll over the years.
However, this shift hasn’t been without consequence. Some of the employees re-badged from Xerox to HCL have already been laid off by HCL itself, such as engineering roles in Oregon that were eliminated just a year after the transfer. The uncertainty caused by frequent layoffs and shifting offshore resources is creating chaos, both for the employees and for Xerox, which depends on stable operations during its own transformation.
Despite the tough circumstances, both HCL and Xerox are hoping for a more efficient, streamlined future, although the immediate disruptions suggest that service quality and employee morale may continue to face challenges in the short term. For those affected, the path forward remains uncertain, but there is hope for better days ahead.