IT companies are doubling down on efforts to prevent young employees skilled in digital technologies – and other high-performers — from jumping ship, as they grapple with rising attrition rates.
The software services providers are looking to stem the talent outflow through better salary increases, promotions and bonuses for top talent, as well as overall employee value proposition, which includes career growth, and learning and reskilling opportunities.
“At an industry level, average attrition has increased by around 1%. But, in specific pockets such as employees having hot skills in new technology areas, or those in Tier -2 cities –which are becoming more prominent tech hubs, attrition seems to be on the rise,” says Debasmita Das, principal – careers and hi-tech industry lead at consulting firm Mercer.
Employees with 3-7 years of experience are most in demand, given the significant traction for premium skills in this experience bracket, she says. Also at high risk are the experienced and senior level individual contributors.
Increased focus on retention
In the April-June period, several leading IT players including Infosys, Wipro and Cognizant reported higher attrition numbers. For Cognizant, it jumped to 23% against 19% for January-March. Infosys reported 23.4% attrition (including people who were let go) compared to 20.4% in the preceding three months.
Source: Economic Times
