During the October-December 2022 quarter, Tech giant Tata Consultancy Services (TCS) saw a net reduction of 2,197 employees in its total workforce compared to the previous quarter as it announced on Monday.
Attrition Slowed Down
At the same time, the attrition slowed down marginally to 21.3 percent even as the firm’s management had earlier indicated that attrition had bottomed out.
In the third quarter of the fiscal , TCS’ loss of employees compares with 9,840 net additions in the July to September quarter in which it had already hit a nine-quarter low.
Presently, the IT firm’s total headcount stands at 6,13,974.
TCS said, “The improved productivity was achieved by focusing on utilizing the excess capacity built up over prior quarters and through investments in organic talent development. In Q3, TCSers clocked 11.4 million learning hours, resulting in the acquisition of 1.3 million competencies, the firm said in its financial results statement for Q3,”.
Attrition Rate Affecting Software Firms
It appears that the issues such as High attrition rate, the gradual reduction of workforce by employees leaving and not being replaced, rather than by redundancy have remained a concern for the past few quarters for most of the tech firm’s.
Further, the attrition rate of top five tech IT giants in India including Infosys, Wipro, TCS, Tech Mahindra and HCL Tech has averaged at about 23 percent, in the second quarter of the 2022-2023 financial year.
In the third quarter, TCS attrition rate had come down marginally from 21.5 percent and the firm expects it to fall further in the forthcoming quarters.
In case of other tech giants, it remains to be seen how
They have fared given an impending recession in the US concerns and a challenging micro environment.
Coming to revenues, the technology bellwether’s net profit exceeds Rs 10,000 crore for the second straight quarter, even as it came in below CNBC-TV18 poll estimate.
So far, the firm’s revenue stood at Rs 58,229 crore which was higher than the poll projection of Rs 57,475 crore.
The IT giant reported revenue growth of 5.3 percent in rupee terms compared to the September quarter.
