Despite the hiring freeze and slowdown on account of the pandemic, software giant Infosys hired 21,000 individuals from campuses across the globe, during the last financial year. The company is planning to take the number further up to 25,000 this year.
The announcement comes as Infosys gears up for the upcoming talent war as firms compete for the best talent to scale performance and outpace the lingering challenges from the previous year. In addition to hiring efforts, Infosys has also announced pay hikes from July.
Net hires for Infosys stood at 10,309 in the last quarter, and 17,248 in the previous financial year. In a recent conference, the company reported an attrition rate of 15.2 per cent at the end of the March quarter, a sharp spike from 10 per cent in the previous quarter. The spike comes despite the company undertaking a pay hike in January. CEO Salil Parekh in a recent analysts conference hinted towards a brewing talent war in the IT/ITES industry due to high demand for work and limited availability of skilled workers.
“Attrition has picked up, largely reflecting a strong demand environment, but we remain confident of our employee engagement initiatives, vast talent pool and training capabilities to ensure seamless execution,” said Chief Operating Officer Pravin Rao.
Infosys guided for a consolidated operating margin of 22-24 per cent, suggesting that it expects some pressure on profitability owing to the higher spend on talent retention and pay hikes. In 2020-21, the company reported consolidated operating margin of 24.5 per cent.
Amid a tense climate for employers as hiring picks up and professionals look out for the best opportunities supplemented with the right compensation and flexibility, how companies elevate their practices and offerings to be the employer of choice is to look forward to.