The top three IT firms in India, Tata Consultancy Services (TCS), Infosys, and HCLTech, had a challenging fiscal year (2022-23). According to a report on Tuesday by Moneycontrol, all three corporations saw a sharp decline in hiring, with their total personnel additions falling by 65 percent from 197,000 in the prior fiscal year to just 68,886 in 2022–23.
Decline in Hiring
- According to the data, the decline in hiring was more pronounced in the fourth quarter of 2023, which saw a startling 98.7 percent decrease compared to the same quarter in 2022.
- In contrast to the 68,257 hires made during the same period last year, HCLTech, TCS, and Infosys made only 884 net new hires in the quarter that ended in March 2023, according to the research.
The company's talent acquisition efforts were intensified throughout the year
TCS stated that its talent acquisition efforts were intensified throughout the year to address a record-breaking amount of staff turnover in the first half of the year, as seen by the net addition of 821 personnel in the fourth quarter and 22,600 overall for the year. In the second quarter of FY23, TCS had significant attrition rates that reached 21.5 percent on a last-twelve-month (LTM) basis before declining to 20.1 percent by the end of March.
Conversely, Infosys saw a drop in annual net additions of nearly 50%, from 54,396 the year before to 29,219 in 2022–23. Infosys had 21,948 more employees on a net basis during the same period in 2022 but 3,611 fewer employees by the conclusion of the last quarter of 2022–2023 than at the end of Q3.
The net number of employees added by HCLTech fell by 57 percent in 2022–2023 from 40,252 to 17,067. Only 353 new personnel were hired by HCLTech on a net basis in the last quarter of the previous fiscal, as opposed to 11,684 at the same time the prior year.
The COVID-19 epidemic, heightened talent competition, and uncertainty in the global economic environment are just a few reasons why these top IT companies in India have seen a fall in net employee additions. Their hiring goals could have been better, which caused a decrease in net personnel additions in the following quarters.