TCS, HCL, Infosys Hired 65% Less Employees In Last 12 Months; Only 884 New Employees Added On Net Basis In Q4Fy2023

Shreya Bose

Shreya Bose

Apr 27, 2023

The IT sector has been seeing a trend of mass layoffs and slowing net additions in each quarter.

Here’s a look at how India’s biggest IT companies have fared in terms of hiring and attrition.

TCS, HCL, Infosys Hired 65% Less Employees In Last 12 Months; Only 884 New Employees Added On Net Basis In Q4Fy2023

Downward curve

India’s top three IT companies — Tata Consultancy Services, Infosys, and HCLTech — saw a steep drop in their net addition for the 2023 fiscal year — down cumulatively from 1.97 lakh to 68,886 — a 65 percent drop. 

They also reported a dismal quarter and were not optimistic about the near term due to the banking crisis in US regional banks and European banks, as well as the macroeconomic climate at large.

Cumulative hiring numbers

Hiring is seen as an indicator of demand, and the stress was visible in Q4FY23

There was a 98.7 percent drop in the number of employees the three companies added on a net basis in Q4FY23 compared to the same period last year.

TCS, HCLTech, and Infosys added just 884 employees on a net basis in Q4FY23, compared to 68,257 in Q4FY22

Sequentially, the net addition of the three companies has fallen from 2,375 in Q3FY23.


TCS added 1,03,546 employees in FY22 on a net basis, which fell to 22,600 in FY23.

In Q4FY23, TCS added 821 employees which is a significant drop from the 35,209 they added in Q4FY22.

Attrition reached 21.5 percent on a last-twelve-month (LTM) basis in Q2FY23, and has moderated to 20.1 percent in Q4. 

It expects attrition to return to pre-pandemic levels by the second half of the fiscal.

They onboarded over 44,000 freshers, as well as their “highest ever number of experienced professionals during the year”, said Milind Lakkad, Chief People Officer.

For the coming year, the company is looking to add 46,000 campus hires in FY24.

The number of lateral hires “will be dependent on the demand from the business every quarter.”

CEO Rajesh Gopinathan said, “We had brought down our lateral hiring and our overall capacity addition, leveraging the strong investments that we had made in the last year

We are systematically using the return to normalcy on travel to reposition our employee base in North America, away from the short-term contingent labour back to our more stable employee-led delivery model,” Gopinathan said.


Infosys saw its yearly net addition nearly halve to 29,219, from 54,396 last year.

In Q4, it ended the quarter with 3,611 fewer employees than it had at the end of Q3. 

In comparison, the company added 21,948 employees on a net basis in the same period last year.

Chief Financial Officer Nilanjan Roy said that the company’s utilisation has declined to 80 percent due to softness in demand.

He said the company expects the utilization to improve gradually in the coming quarters as freshers start getting deployed.

They will “calibrate the hiring for FY24 based on the available pool of employees, growth expectations and attrition trends.”

The company hired roughly 51,000 freshers in FY23, but refused to give any targets going ahead.

The company’s attrition declined to 20.9 percent on an LTM basis in Q4FY23, declining steeply in every quarter of the fiscal year

Quarterly annualized attrition has reduced by over 4 percent sequentially, is the lowest in the nine quarters, and is below pre-pandemic levels.

The headcount addition for FY24 could be tepid due to “limited demand visibility, significant headroom on utilization, moderating lateral attrition and trainees becoming billable”, according to Kotak Institutional Equities.


HCLTech’s net addition for the year came in at 17,067, down from FY22’s 39,900

For Q4 too, it added 3,674 employees, as opposed to Q4FY22’s 11,100.

CEO C Vijayakumar said that it had added 4,480 freshers during the quarter.

It is “lower than the last quarter, adjusting for the market conditions.”

“We’ve added more than 25,000 freshers in the year, the highest in our history. 

While we are scaling fresher intake, we still have an opportunity here. We will have sustained focus on this over the next two to three years to improve this further,” he added.

Ramachandran Sundararajan, chief people officer said that attrition has been a “phenomenal story”.

The attrition rate in Q4 stood at 19.5 percent on an LTM basis, decreasing significantly from 21.7 percent in the previous quarter and 21.9 percent in the same quarter last year.

Nirmal Bang Institutional Equities said that HCLTech indicated that lateral hiring would moderate in FY24.

Fresher hiring is expected to continue with a target of hiring 15,000 freshers during the year.

Shreya Bose
Shreya Bose
  • 610 Posts

Subscribe Now!

Get latest news and views related to startups, tech and business

You Might Also Like

Dec. 8, 2022

Beat The Burden Of Medical Inflation With A Health Insurance

As disease rates rise and medical technology develops, treatment costs climb. It’s essential to understand that medical costs are not exclusively associated with hospitals. The cost of prescription drugs, diagnostic procedures, ambulance and operating room fees, consultations with doctors, and other costs are also constantly increasing. All of them could put a big strain on […]

Dec. 8, 2022

3 Biggest Changes Of iOS 16.2 Update That Every iPhone User Should Know!

In its latest update Apple said that it is preparing for the iOS 16.2 update for iPhones across the world. Notably, like the previous release, there are a couple of changes coming for the iPhones.  iOS 16.2 Update Release Date So far, Apple has not announced a release date for iOS 16.2 update. Reportedly, the […]

Dec. 8, 2022

300 Microsoft Employees Create Employee Union, First Time Ever: This Is How Microsoft Reacted

Around 300 workers at Microsoft Corp.’s ZeniMax Studios have commenced the process of forming a union which is said to be the first at the software giant in the US.  Here, Microsoft Corp.’s ZeniMax Studios known for popular video games including Skyrim and Fallout. Forming Union In Microsoft Corp Moreover, the quality assurance employees at […]

Dec. 7, 2022

India Beats China In Air Travel Safety: Ranking Jumps From 102 To 48 In Global Aviation Safety

India’s air safety protocols and executions have improved drastically over the years, as validated by the findings of a specialized agency of the United Nations, the International Civil Aviation Organization or ICAO. The UN watchdog has upgraded India’s ranking in terms of aviation safety to the 48th position, jumping past the rankings of countries like […]

Recent Posts

Related Videos


Subscribe Now!

Get latest news and views related to startups, tech and business

who's online