IT Sector – 22 lakh Indian professionals likely to leave jobs by 2025
IT-based services are essential for any corporation to grow effectively and inexpensively in today’s cutthroat business environment, boost productivity, and help business processes flow seamlessly. Not only has the Information Technology sector contributed to India’s economic development, but it has also improved government efficiency and accessibility. Information technology has simplified and reduced the cost of accessing services and data relevant to the government. With increased openness, Information Technology has streamlined the management and provision of government services, such as those related to health care, education, consumer rights, etc.
The majority of India’s Information Technology sector giants, including TCS, Infosys, Wipro, and HCL, have shared a concern over the past few years. It’s the high rates of attrition. According to survey results, there doesn’t appear to be any hope for improvement in the upcoming years.
According to research, the attrition rate in India’s IT-BPM (Information Technology and Business Process Management) industry is at an all-time high, with up to 22 lakh IT experts expected to leave their employment by 2025.
According to the research, 57% of IT professionals said they would not be interested in working in the Information Technology services industry again.
According to TeamLease Digital’s “Talent Exodus Report,” contract staffing attrition would increase by up to 55% in FY 2023, up from 49% in FY 2022.
According to the survey, job seekers have the widespread misperception that raising pay will enhance performance and increase job satisfaction. Between 20 and 22 lakh, people are predicted to quit their employment by 2025.
For those unaware, the attrition rate is a metric used to determine how frequently people leave an organisation of their own volition.
“The Indian IT sector has witnessed tremendous growth in the last decade. It has recorded 15.5% growth, which is the fastest in more than a decade and touched $227 billion, creating additional 5.5 lakh jobs in FY22 alone,” said Sunil Chemmankotil, Chief Executive Officer, TeamLease Digital.
However, the global epidemic is causing disruptions in the IT hiring process, “there is evidence of a reverse trend which indicates that retaining a business-critical talent has undergone a great change in the last two years”, he reportedly added.
“With the usual demand for salary hikes and other benefits, the main attraction for employees in their new jobs is ‘Great Reflection’ on the internal policies and external factors that “should be relooked at by employers as we are viewing great changes in the employees’ feelings about work and life”, Chemmankotil added.
Employees are reevaluating their professions based on these characteristics and leaving their comfortable employment in the middle of their careers as a result of the changing demands and priorities of employees, such as the desire for flexibility, career progression, and employee value proposition.
The startling statistics show that the flexible framework has increased the range of options. The hiring and onboarding procedures at Information Technology businesses have also been impacted by COVID-19.
Regarding the IT sector’s attrition rates, TCS’s rate was 19.7%, Infosys’ was 28.4%, Wipro’s was 23.3%, and HCL’s was 23.8% for the quarter that concluded on June 30.
According to the survey, candidates are widely misunderstood that raising pay will improve work output and boost job satisfaction.
The startling statistics show that the flexible framework has increased the range of options. “Organisations’ strategic hiring plans must contain goals towards their employees and their betterment. This ultimately translates into soul searching over whether an employee feels valued in their work or merely creates outcomes and value to benefit others,” said the report.
According to over 50% of respondents, “lack of better compensation and benefits” is the most significant cause of talent migration, while 25% point to a lack of professional advancement.
“Information Technology companies are experiencing dysfunctional turnover where the best employees of companies are voluntarily leaving at higher rates,” the report mentioned. It also stated that the main factor contributing to attrition in the IT services sector in 2021 was new-age businesses expanding their staff.
