Cognizant is all set to recruit 28,000 freshers in 2021. Last year, the IT services company hired 17,000 to handle the voluntary attrition in the first quarter. The workforce of Cognizant is presently 2,96,500 strong, of which over two lakh are based in India.
The Company will look at ways to manage the inflationary elements of this hiring. It has already factored in the attrition for the second quarter into its model. It is aware that recovery will not be immediate, and that there will be “further sequential increases in attrition” in the second quarter.
The IT major witnessed an attrition rate of 21 per cent, the highest attrition in the industry for the January-March quarter. Its voluntary attrition rate stood at 18 per cent.
The multinational even lost new business because it was unable to hire quality talent. The fact that demand for digital talent is high right now and the market extremely competitive is only adding to its woes. As a result, the Company faced salary pressure due to lateral and contingent hiring.
In a bid to tackle the attrition issue, the Company has been working on a plan, which includes increased focus on efforts for internal engagement. It will also be spending more on training people and on job rotations so that each one has access to opportunities to grow their career. Cognizant intends to adopt a quarterly promotion cycle for billable associates. Salary hikes and promotions are also on the cards for high-demand skills and critical roles.
