According to a recent report by Teamlease, Recruitment in IT Industry which was on a roll for the past two years is starting to show early signals of slowing following indications of an early recession in the United States.
However, IT companies reported high attrition, now, they have seen a downfall in hiring for IT employees.
“There are early signals of a slowing hiring trend but for this quarter, we are not seeing any impact in terms of the number of open positions in the IT industry,” TeamLease Services’ Chief Financial Officer Ramani Dath
Dathi called the current hiring intent “decent enough” on the back of continuing high attrition level. “If not new positions, even the replacement of the attrition is being done and that is leading to a higher percentage of hiring on a quarter-on-quarter basis,” she said.
HCL
HCL Technologies only hired 2,089 new employees in the first quarter of fiscal 2023. While 11,000 new employees were employed in the final quarter of FY22. The attrition rate stood high at 23.8 per cent.
Accenture
In contrast to an average of 40,000 hires per quarter over the previous three, IT industry behemoth Accenture only hired 12,000 individuals in the most recent quarter that ended in May.
Accenture has grand plans of hiring 1,50,000 new employees in India using the metaverse in the upcoming fiscal year. Presently it has thousands of lateral jobs in India, and most of the positions are based in Bengaluru, Hyderabad, Chennai, Mumbai, Gurugram, etc.
TCS
In the April-June quarter, Tata Consultancy Services hired 14,136 new employees, a significant decrease from the 26,000 it hired on average per quarter during the previous fiscal year. In the last 12 months, TCS experienced an attrition rate of 19.7%.
TCS CEO Rajesh Gopinathan stated that the business “had reduced hiring” even though it “remains on schedule to onboard 40,000 freshers” this fiscal year. It is important to note that during FY 21–22, the IT bellwether hired a staggering 103,000 additional personnel. TCS claimed that its key clients are starting early discussions about the recession.
Software giant kicking off the corporate earnings season — said its attrition rate further rose to 19.7 percent in the April to June quarter of the 2022-2023 financial year. In the previous quarter, TCS saw an attrition rate of 17.4 percent.
The company has added 14,136 employees in the April to June quarter with a total workforce of 6,06,331 employees globally and women account for 35.5 percent of TCS workforce, the company said in a statement.
Employers from various companies are cutting back on hiring as a precaution to deal with inflationary and geopolitical pressures. The details of the hiring shows that there have been less hiring’s than the previous years.
