In an endeavour to handle the rising attrition, Cognizant is gearing up for about one lakh lateral hires this year. About 30,000 freshers will also be taken on and the plan is to make 45,000 offers to fresh graduates in India for 2022. The US-based IT firm’s quarterly attrition rate went up to 31 per cent in the June quarter.
The information technology consulting firm had over three lakh employees at the end of the June quarter. In addition to employee-engagement activities, it has been taking measures, such as increments, promotions, adjustment of compensation, rotation of jobs and reskilling of employees to control attrition. While attrition is being witnessed across its offices, globally, in India, where it has a two-lakh strong workforce, the attrition is maximum at the junior and middle ranks of the hierarchy, and much higher than it should be.
However, this attrition is not something that the Company did not expect or is not prepared to handle. It will now focus on hiring about 100,000 laterals in 2021 and training almost one lakh associates, as revealed by Brian Humphries, CEO, Cognizant.
Encouraged by the good performance in the second quarter, Cognizant is hoping to witness revenue growth of 10 to 11 per cent in the September quarter, in constant currency, in the $4.69-4.74 billion range. Its digital revenues have grown 20 per cent year-on-year.