Avaya has cut more than 30 percent of its workforce at the Global Capability Centre (GCC) in India as part of a major restructuring to reduce debt and support its broader turnaround efforts. The layoffs are linked to efforts to emerge from bankruptcy and follow other cost-cutting moves under CEO Patrick Dennis, who took charge last year. Avaya also reduced work outsourced to third-party partners and offered voluntary exit packages to employees to encourage departures.

Despite the significant reduction in headcount, sources familiar with the situation say the India GCC will remain operational. A large part of Avaya’s finance and accounting functions still runs through the centre, making it a critical component of its global operations. The company’s leadership reportedly views the GCC as essential for financial processes, at least until a potential acquisition changes that structure.

Avaya’s restructuring reflects deeper challenges. Once a leader in enterprise communications, the company has struggled to keep pace with cloud-first competitors like Microsoft and Zoom. Its second bankruptcy in 2023 highlighted ongoing financial pressure, and these layoffs underscore how Avaya is attempting to stabilise while retaining core functions in India.

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