In the June quarter, Infosys experienced a decrease in headcount by 6,940 employees when compared to Q4FY23. Similarly, IT companies Wipro and HCLTech also observed a decline in their respective headcounts. As of June 30, 2023, Infosys had a total of 336,294 employees, down from 343,234 employees in the March quarter.
According to a report by New Indian Express, Infosys' attrition rate for the quarter decreased to 17.3% from the previous quarter's 20.9%. Additionally, its voluntary attrition rate during the same period last year was 28.4%. However, the company did not specify a hiring target for FY24, stating that it would depend on changes in the demand environment and attrition rates they observe.
Wipro also refrained from providing a specific outlook on hiring. Saurabh Govil, the Chief Human Resources Officer (CHRO) of Wipro, stated that their hiring decisions will be contingent on the macroeconomic environment, and they will focus on critical areas such as AI for recruitment. He emphasized that hiring will be calibrated based on their specific requirements.
Infosys has decided to postpone the salary hikes of its employees, and the company's CFO Nilanjan Roy mentioned that the matter is currently under consideration. Typically, the company announces its annual wage hike either in April or May. However, this time, many employees have not yet received any notification regarding the expected hike.
In addition to Infosys, HCLTech has chosen to forego the compensation review, starting with the management layer, particularly E4+. Analysts interpret these decisions as indications of the challenging demand environment that IT firms currently encounter.