In September, the number of people employed climbed by 8.5 million to 406.2 million, the highest level since March 2020.
According to CMIE’s consumer pyramids household survey, in September, there was a decline in the employment rate. The labour force participation rate increased from 40.5 per cent in August to 40.7 per cent in September, according to the study.
Also, the top four Indian IT companies hired over 50,000 workers in the second quarter of FY22, pushing their total hiring to over one lakh in the first six months of the fiscal year.
HCL also intends to hire 22,000 people, 60 per cent of whom will be women. In the following years, the organisation hopes to achieve a 50:50 gender diversity balance.
Total Hiring Of The Top Companies
Big IT companies like Tata Consultancy Services (TCS), Wipro, HCL Technologies, and Infosys are planning to hire around 60,000 women candidates this year through campus placements.
TCS hired nearly 19,690 people in the second quarter, while Infosys hired 11,664 people, the largest ever in a single quarter. Both Wipro and HCL Tech grew their workforces by 11,475 and 11,135 employees, respectively.
In the last six months, TCS has hired 43,000 freshers. It plans to hire another 35,000 workers this fiscal year, bringing the total number of new graduates to 78,000.
“We were able to overcome supply-side problems and stay on track with all of our execution timeframes by investing ahead of time in acquiring the right people around the world and onboarding a record number of fresh engineers,”
Rajesh Gopinathan, TCS’ Chief Executive Officer.
Infosys targeted to hire 45,000 freshers, up from 35,000 previously for this fiscal year. In the second quarter alone, Wipro hired 11,475 workers. Out of that 8,000 were fresh graduates. By the conclusion of this fiscal year, the company wants to have 17,000 new graduates.
Attrition Rate – The big Reason!
Attrition rate for all the major companies are increasing drastically!
Recently Infosys and Wipro had the highest LTM (last twelve months) attrition rates this quarter, at 20.1 per cent and 20.5 per cent, respectively.
TCS posted the lowest quarterly attrition rate increase in the last twelve months, at 11.9 per cent.
“We expect this (high attrition) to probably continue for a couple of quarters or so,” said Pravin Rao, Chief Operating Officer of Infosys. However, as we have more talent in the system, this should ease up and return to normal.”
Companies Are Now Paying More Salaries To Keep Senior Employees!
Companies are paying higher compensation to keep senior personnel for mainly supply and demand for skill.
However, the industry is unconcerned. “When we backfill attrition, yeah, there is a small rise in the cost we observe which is not just this quarter, it has been like this for a relatively substantial period of time, The fact is that we do have strategic talent development programmes through which people can considerably advance their careers and earn more money. Internally, there are various strategies to increase and accelerate compensation.”
Milind Lakkad, TCS’ Chief Human Resource Officer
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