Attrition at 15%; Infy to hire 25,000 this fiscal
India’s second-largest IT player Infosys reported attrition of 15.2 per cent for the quarter ended March 31, 2021. The company had seen such a high rate four quarters back. Meanwhile, at Tata Consultancy Services (TCS), attrition level has hit an all time low of 7.2 per cent.
Voluntary attrition for the quarter ended December 31, 2020, stood at 10 per cent. U B Pravin Rao, COO of Infosys, accepted that attrition at Infosys has been in the range of 13-15 per cent, but Q4 attrition figures were high.
“We have initiated several interventions to retain the best of our employees, including salary hikes,” said Rao. He also said the company has announced salary hikes in a staggered manner. “The first salary hike was effective January 1, 2021 and the second will be in July. We have always given hikes in a staggered manner. In the interim we have also said that if there ar any interventions required to keep talent in the company, we will do it,” said Rao.
Infosys added that for FY22, it will be onboarding close to 25,000 freshers from campuses. This will be across India and overseas. For FY21 the company had hired 21,000 freshers, of this 19,000 where from Indian campuses and 2,000 overseas campus.
For FY22 the company will give offer letters to around 24,000 freshers, and 1,000 will be hired through overseas campuses.
The company had a total of 259,619 employees at the end of FY21, and utilisation rate of 87.7 per cent for the quarter.
"While our employees continue to work from home through this health crisis, we remain focused on their wellness, including facilitating vaccination rollout for eligible employees," said Rao, adding the company remains confident of its employee engagement initiatives, vast talent pool and training capabilities to ensure seamless execution.
TCS, which announced its results earlier this week said that it would be hiring close to 40,000 people this year, adding to the 40,000 it had hired last year. The firm added 19,388 employees between January and March 2021, the highest ever in a quarter. TCS also reported an all-time low attrition rate of 7.2 per cent during the March quarter.