Hiring and staff headcount decreased at key Indian IT businesses in Q1FY24

24 Jul 2023 , 12:26 PM

This month saw the release of the Q1 FY 2023–24 results from Indian IT services providers Tata Consultancy Services Ltd (TCS), Infosys Ltd, Wipro Ltd, and HCLTech. In comparison to the same quarter last year, the companies have seen a sharp decline in workforce addition.

TCS

For the quarter that concluded in June 2023, TCS hired 523 new workers. In the same quarter a year ago, the corporation had hired 14,136 more people. In comparison to Q1 FY 24, the net employee addition in Q1 FY 23 was 28 times more.

Milind Lakkad, the TCS Chief Human Resource Officer, stated after the earnings announcement that the business intends to use its current personnel strength rather than hiring more people.

‘We pledge to uphold all of our extended offerings. Leveraging the capacity we established last year will be our main goal, according to Lakkad.

At the end of the first quarter of FY24, TCS had 6,15,318 employees overall.

WIPRO

In Q1 FY24, Wipro’s net staff growth decreased by 8,812 workers. This is in stark contrast to the prior quarter, when the business increased its staff by almost 15,446 people.

Saurabh Govil, the chief human resources officer of the company, stated that in the upcoming quarters, Wipro would only employ for crucial positions.

‘Demand and the macroenvironment both influence hiring. Additionally, we’ll keep hiring in areas that are crucial. AI, data, security, and engineering are all receiving significant attention. As we move forward and adjust it every three months based on demand, we’ll see continued hiring for these specialized capabilities, according to the CHRO of the IT company.

HCL Tech

The number of employees at HCLTech decreased by 2506 people in the first quarter of FY24. On the other hand, the business increased its workforce by about 2089 during the first quarter of FY 23.

The corporation also disclosed that some employees’ yearly compensation increases would be postponed.

According to HCLTech’s Chief Financial Officer Prateek Aggarwal, ‘Based on the initiatives we have outlined, we are confident in returning to the 18-19% area. Senior staff wage increments will be delayed as part of the activities, and a decision about junior staff wage increments will be taken in October.

INFOSYS

In Q1 FY 24, Infosys’ workforce headcount decreased by more than 7000 individuals. The personnel headcount reduction is comparable to that of its competitors Wipro and HCLTech. At the present time, the corporation employs 3,36,294 people.

In the future quarters, the company will concentrate on enhancing its AI skills, according to Salil Parekh, CEO.

‘We currently have 80 active client projects, and our generative AI skills are growing well. Our all-encompassing AI solution, Topaz, is getting good feedback from customers. We anticipate that this will revolutionize the way clients interact with us and improve our entire service offering,’ Parekh added.

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