Satyam confirmed this morning that its headcount had been reduced by 200 from its Australian operations since last year.
The chief of the Australian division of troubled IT services giant Satyam Computer Services has reportedly resigned.
Telstra has reportedly dropped an IT outsourcing contract with Satyam, the second major Australian company to do so since the disgraced Indian outsourcer's accounting scandal came to light.
Qantas, Australia and New Zealand Banking Group and Suncorp-Metway yesterday said they were keeping a close watch on the situation, but had no immediate intention of following NAB's lead in suspending work with troubled IT outsourcer Satyam.
Analyst firm Ovum said today that Satyam's financial scandal would not significantly affect overall outsourcing trends in Australia, although some customers might reassess their contracts with the Indian giant.
Get an insider's look at the recent history and potential imminent future of the National Australia Bank's technology operation in the second of our Changing of the guards series examining generational change in the nation's big four banks.
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