Trying to recruit and train talent

The pandemic made digital services more important than ever, which has meant big business for most major technology companies. But there has been a downside to the tech boom — it’s making it more difficult than ever to recruit and retain software developers, who are in such demand that they can insist on more money and other perks — and leave if they don’t get them.

Cognizant Technology Solutions CEO Brian Humphries is grappling with the challenge while running one of the industry’s largest outsourcing firms. The Teaneck, New Jersey, company increased its workforce by 12% over the past year. But the attrition rate of departing employees stood at an abnormally high 33% in the July-September quarter.

Humphries recently discussed the recent imbalance in the technology labor market with The Associated Press.

How difficult is it to hire tech workers right now?

There is a demand unlike anything we have ever seen in many, many years. And that demand increase is ultimately fueled by digital acceleration. Every company in the world, regardless of the industry, is pushing toward digital business models. So that’s the situation we face today.

Why has Cognizant seen unusually high attrition rates?

There is an unprecedented battle for (technology) talent, reflective of the fact that the market has shifted massively toward digital transformation. It’s just an industrywide phenomenon. And having an employee value proposition is more important than ever before.

What kind of employee value proposition?

The next generation of workers really want to work for a company that has a purpose, a company that brings value to the world, not just an anonymous corporate entity that’s capitalistic in nature. I spend an hour every day with five employees to hear them out. What’s on their minds, what’s working, what’s not, how do they feel about our communication, about our strategy, et cetera.

Is the remote working trend an advantage or disadvantage for your company?

To a certain extent, that hasn’t helped retention of employees because perhaps when people are together, commuting together, sharing cafeterias, being in work meetings together, it can engender a sense of loyalty.

The work-from-home environment can certainly reduce commute times, which is good for an employee’s wellbeing. And history has shown that sometimes the (representation) of female employees diminishes in certain societies like India as they move further up the pyramid. Working from home can be very positive from a diversity inclusion point of view because it can keep female talent in the workforce longer and, hopefully, give them opportunity to rise through the ranks.