Tata Consultancy Services (TCS) is one of India’s largest information technology and consultancy firms in the country. The company’s head office is situated in Mumbai, but they have multiple offices in India and even outside India in countries like the USA, France, UK, Germany, and 43 other countries! As the name suggests, the company is a subsidiary of the Tata conglomerate.
Recently, TCS made headlines for hiring a record number of entry level employees by hiring over a lakh them for the financial year of 2021-2022. The firm even plans to hire around 50,000 more employees for this current financial year. Well, when a company hires so many people, you would think that it’s a very healthy company, trying to match their growth and high demand. But Tata Consultancy Services has a very special case.
The company’s attrition rate is alarmingly high. Attrition rate refers to the rate at which employees leave a company. This number is very important for any company as it showcases how good the company is at retaining their talent.
Recently, scores of employees have been leaving the company with TCS’s attrition standing at 17.4%. Any number higher than the borderline of 10% means the company is very subpar at keeping their employees at the firm. Many of the top IT companies have been facing this very problem over the past year and a half.
Ever since Covid 19 made the world to adapt to an online and digital life, people have realised that they can apply for jobs that is based anywhere around the world as everyone will be working from home and that’s exactly what they have done. Start-ups around the world have been able to attract the best pools of talent due to their flexibility compared to a company like TCS or Infosys. Covid really accelerated the growth of start-ups with many of them popping up over the past few years in various industries with many of them bagging massive funding with many of them gaining the status of unicorn.
Many IT companies across the nation now understand the power and value of employees with many firms now revamping their entire wage structure and improving their insurance and other benefits.
TCS currently has around 6 lakh employees working for it and their main goal right now should be to keep their employees satisfied and working with high morale if they are to compete with start-ups for the best talent.