The COVID-19 pandemic reshaped the way companies operate, with remote work becoming the norm for many organizations. However, as the world gradually recovers, some companies are reverting to pre-pandemic practices, including the return to office-based work. One such company taking a hard line on remote work is Cognizant.
Company’s Warning: Reports from LiveMint indicate that Cognizant, a Nasdaq-listed IT giant, has issued a stern warning to its employees regarding remote work. Despite repeated reminders, the company warns employees that they could face termination if they continue to defy the mandate to return to the office.
Cognizant’s Letter To Employees: In a letter dated April 15, Cognizant urged employees who have not yet returned to the office to revisit earlier communications from business leaders regarding expectations for in-office attendance. The letter emphasizes that failure to comply with the instructions will be considered a serious breach of company policies, potentially resulting in disciplinary measures, including termination.
Previous Instructions: This warning follows previous instructions issued by Cognizant regarding in-office attendance. In February, Reuters reported that the IT firm instructed its Indian employees to work from the office for three days a week. This move aligns with the company’s efforts to gradually transition back to office-based work as the pandemic situation improves.
Cognizant CEO’s Note: Cognizant CEO Ravi Kumar S emphasized the importance of in-office attendance in a memo to employees. He noted that all associates in India are required to be present in the office for an average of three days per week, as determined by their team leader. While the effective date of this directive was not specified, it underscores the company’s stance on the return to office-based work.
Total Number Of Employees: Cognizant boasts a significant workforce, with approximately 254,000 of its 347,700 employees based in India, as per its annual report. The company’s directive regarding in-office attendance affects a substantial portion of its workforce.
Comparison with Other IT Firms: While Cognizant takes a hard line on remote work, other Indian IT firms have also mandated the return to office-based work. Firms such as Tata Consultancy Services (TCS), Infosys, and Wipro implemented similar policies in 2023, with TCS even adopting a five-day-a-week schedule for office attendance.
Attrition Rate At Cognizant: Despite the challenges posed by the transition back to office-based work, Cognizant reported a decline in its attrition rate. The company’s attrition rate decreased by 10 percentage points to 13.1% over the trailing 12-month period, indicating stability within the workforce.
Utilization Rate: Additionally, Cognizant reported an increase in its utilization rate, reaching 82% for the quarter ended March 31. This uptick in utilization suggests that employees are actively engaged in their roles despite the shift back to office-based work
