Two top IT companies have announced their hiring plans for the current fiscal. TCS would add 40,000 personnel in FY2022, while Infosys expects to hire up to 50,000.
At a time when the information technology sector is experiencing high attrition rates in the midst of a dynamic environment with high demand, organizations are increasing their fresh recruiting and striving to reduce attrition.
TCS, India’s largest IT services business, intends to hire 40,000 more staff. Infosys, another IT behemoth, plans to add up to 50,000 people in the current fiscal year.
The attrition rate at Infosys increased to 27.7 percent in the March 2022 quarter, up from 25.5 percent in the December 2021 quarter. TCS attrition was 17.4 percent in the fourth quarter of 2021-22, compared to 7.3 percent in the same period last year. TCS attrition was 15.3 percent even in the December 2021 quarter.
TCS Management stated that while the numbers are high over the previous twelve months (LTM), they are decreasing incrementally. Management at Infosys also stated that attrition was actually lower in the past quarter.
In terms of fresher recruiting, TCS and Infosys made a total of 61,000 campus recruits in FY21. This climbed by a factor of ten in FY22 and is anticipated to continue. In FY22, TCS and Infosys employed 100,000 and 85,000 new employees, respectively.
Infosys has stated that it plans to hire more than 50,000 new employees in FY23. “In the previous year, we employed 85,000 freshers in India and throughout the world.”
“We are looking to add at least 50,000 people (this year) and will see how that goes, but those are just preliminary projections,” Infosys Chief Financial Officer Nilanjan Roy told reporters following the company’s earnings release earlier this month.
TCS has stated that their recruiting pace will be comparable to the previous fiscal year in the future. TCS Chief Operating Officer N G Subramaniam stated that the business will begin the year with a recruiting objective of 40,000 and will increase it if necessary throughout the year.
Meanwhile, the work-from-home (WFH) paradigm continues to benefit the IT industry, which is currently aiming to deploy the hybrid work model.
TCS further stated that it is still dedicated to implementing its innovative 25X25 model. It means that no more than 25% of the company’s colleagues are needed to work from an office at any given moment, and they must spend no more than 25% of their time in the office.
TCS is also establishing temporary operating zones (OOZ) and hot desks. It is establishing agile work chairs throughout the world, allowing its workers to work and collaborate with colleagues from any TCS office.
IT behemoth Infosys has also announced a “phased return to office,” with staff encouraged to come in person only a day or two each week. However, in the long run, the firm intends to use a hybrid form of operation.