Infosys Ltd, India’s second-largest software exporter by revenue, aims to reduce its high attrition levels with skilling programmes and other compensation-based incentives. The attrition rate at Infosys was at 23.4% in April-June, up 3% from 20.4% in the previous quarter ended March. This was also much higher than competitor Tata Consultancy Services (TCS) Ltd.’s attrition rate of 11.5% in the quarter ended June.
Analysts feel attrition is not an easy problem to solve. “The industry is going through a variety of changes very fast. While reskilling by companies can solve part of the problem, it’s not enough. Today, many people do reskilling on their own and when they switch jobs, they easily get a 30% hike which a normal appraisal within the company can never match up to,” said Sanchit Vir Gogia, Chief Analyst, Greyhound Research.
Sanchit Vir Gogia: Sanchit is the Chief Analyst, Founder & CEO of Greyhound Research, a Global, Award-Winning, Technology & Innovation Research & Advisory firm. To read more about him, click here.
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