Employees are Resigning from IT Companies

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Employees are Resigning from IT Companies
18 Apr 2022
6 min read

News Synopsis

Recently, it has been reported that a large number of IT employees are leaving IT companies in India. Tata Consultancy Services (TCS) and Infosys are two out of many tech firms that are being affected by the high number of resignations. This eventually has made employee retention a big task for these IT giants. At the very moment, IT companies are battling with a high attrition rate. The attrition rate in simple terms is the percentage of the employees leaving the firm. In the last six quarters, tech majors TCS and Infosys are struggling with high attrition rates. The demand for IT services increased after the emergence of Covid-19 but now these IT companies are struggling with the increased employee costs.

A high attrition rate eventually leads to massive employees costs for these IT companies. Employee benefits including, health insurance, transport facilities, etc increased significantly in the last year. One of the major reasons behind the employees leaving the firms is getting new and better opportunities as more and more startups are being established in India. The COO of Infosys, Pravin Rao in his statement said: “ Startups are also a very attractive place for many of our employees. And with more and more Unicorns out there, that sector is now also increasing focus for some of our employees.”

TWN In-Focus