Capita IT Services plans to off-shore roles to India and the result will be 1000 jobs lost to current office workers and programmers. The IT support company declared its intention to of shore these positions on the same day it secured a 575 million IT support contract with the Department for Education.Capita is claiming the move is necessary to maintain a competitive position in the marketplace. Staff are expected to see at least 400 redundancies and up to the full 1000, this is a blow to the staff as they have also recently had to adhere to other extreme restrictions to their working conditions such as a freeze of salaries and terminating bonuses.TechMarketView analysts have stated the move from Capita comes after a fall in pre-tax profits in 2011. OBrien- analyst at TMV said- "With no leverage on pricing for the foreseeable future, Capita will have to rely on cost efficient delivery to improve the margin". When referencing Capitas current 5.5 % operating margin.
