Attrition has increased from 16.6 percent in the quarter ended March 2018 to 18.3 percent in quarter ended March 2019. Primary areas where the company is seeing attrition is with employees in 3-5 years of experience in India and 2-3 years of experience in the US.
Information technology major Infosys is looking at multiple measures from incentives to better employee engagement to bring down the attrition rate that hit 20 percent in the fourth quarter of FY19.
Addressing the media after announcing the Q4 results, the company's Chief Operating Officer UB Pravin Rao said, primary areas where the company is seeing attrition is with employees in 3-5 years of experience in India and 2-3 years of experience in the US.
Attrition has increased from 16.6 percent in the quarter ended March 2018 to 18.3 percent in quarter ended March 2019.
“There are multiple interventions we started in the last quarter or so for engaging better with employees,” he added.
The company has launched an employee value proposition focusing on engaging better with employees, enabling them and creating better career opportunities and also rewards. The company also introduced milestone-based increments. It is also investing in employee career progression.
“We are encouraging people to get certified and become digital specialists and are coming up with incentives for such people,” Rao added.
Rao pointed out that, “This will take time to show results. We are also looking at wherever there are gaps in compensation and are trying to fix that as well.”
“We want to bring down the attrition to 13-15 percent,” he added.
On the performance front, the company will give a wage hike to 85 percent employees effective April 1 with an average hike of 6 percent in India and 1-1.5 percent in the US.
In terms of hiring, the company hired close to 20,000 campus graduates last year and is looking to replicate the same this year as well. In the US, the company has crossed the 10,000-mark it set two years ago and will continue to step up its localisation efforts there.
Apart from the US, the IT major has hiring plans in other geographies as well. “In other geographies, we are looking at Europe and we have some announcements for the market in the next couple of quarters. We have already started thinking about what we are doing in Eastern Europe.”Earlier the company said it will hire 1,200 in Australia. As the company steps up its overall hiring across geographies, it expects the subcontracting costs to come down and stabilise in those markets.The Great Diwali Discount!
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