IT Companies to begin Talent War in New Year
The Indian IT service sector continues to encourage hiring plans for the New Year, as companies across industries adopt new digital modes of running businesses after the pandemic. The demand for new-age tech talent is expected to increase further next year, thus intensifying the already existing war for talent.
India’s IT service industry hopes to witness a gross employee addition of 450,000 in the second half of financial year 2022 (H2FY22), according to market intelligence firm Unearth Insight.
"IT Industry’s perceived “War on Talent” is real and it’s getting intense with attrition is a rising concern for the industry. It’s crucial for the industry to focus on Employee Value Proposition (EVP) even more aggressively to keep attrition in check," says, Gaurav Vasu, Founder and CEO, Unearth Insight.
With higher attrition of 17-19 per cent in the second half of the year the industry is likely to have a net employee addition of about 175000.Accorfing to the firms hiring outlook 250000 fresher’s have been added by more than 30 domestic and multinational tech firms India.
Start-ups are far from behind; companies are likely to hire 30,000-50,000 people in FY22. The funded start-up ecosystem headcount stands at 2.5 lakh employees.
The industry was not ready for the pace of offshoring we witnessed since the pandemic.” Offshoring increased over five percent for some companies, and it is unlikely to go back to the pre-pandemic level
Abhishek Sinha, COO & Board member, L&T Technology Services, explaines that one of the reasons was extreme offshoring when companies shifted to work from home, getting employees back to countries like India. “The industry was not ready for the pace of offshoring we witnessed since the pandemic.” Offshoring increased over five percent for some companies, and it is unlikely to go back to the pre-pandemic level, he added.