IT Giants TCS Infosys Wipro may hire 30% less candidates in FY24: Delays Onboarding of Freshers | Know More

TCS Infosys Wipro may hire 30% less in FY24. After the enthusiastic days of September-October 2022, when TCS, Infosys, Wipro, HCL, Tech Mahindra, Cognizant, Accenture, and many other IT service firms hired a large number of new people in anticipation of growth, they are now making plans.

In the midst of concerns about a recession in the United States, companies have cut back on hiring new people due to a weak deal pipeline. Staffing firm TeamLease Digital predicts a 30% decrease in hiring in the financial year 24.

In addition, thousands of new students from the 2022 and 2023 batches of engineering colleges, who secured jobs on-campus or with IT service companies, are facing indefinite delays in onboarding.

If many people have not heard from their future employers about joining dates even after committing to a job a year ago, it is a bit reassuring when companies keep extending joining dates every two to three months. Nevertheless, others are being forced to undergo additional training, while their offer letters are nearing expiration, and some have even canceled their offers. They are navigating the uncertain technical job market.

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Harpreet Singh Saluja, President of the National Information Technology Employees Senate (NITES), estimates that employee unions have received complaints of delays in onboarding from 20,000-25,000 students in the past two batches. “Our argument is, if business was slow, why issue so many offer letters to these new people?”

Aarin Capital Chairman and former CFO of Infosys, T.V. Mohandas Pai, says, “These are young people, and [delays and cancellations in offers] are entirely wrong.” Industry stalwarts suggest that companies should onboard new people and train them immediately, even if it means incurring financial losses for two to three quarters. “Yes, business need is a real issue. But they are still making profits and losing people at a lower cost. They may have to keep the surplus people for one or two quarters,” Pai says.

Vinit Nayar, founder-chairman of the Contact Foundation and former CEO of HCL Technologies, says, “Growth will definitely come back either today or tomorrow. Now, it will be a wise decision to onboard new people, win their trust and respect.” Experienced CHRO Prabir Jha, founder and CEO of Butic Advisors, suggests that companies should either honor the onboarding timelines or retract offers. It’s a difficult but morally superior choice. According to him, prices have gone up as a result of retention tactics including phony promotions and title changes.

“Companies must be ruthless in ensuring that promotions at the middle and senior management levels are role-based,” Nayar says. He suggests returning to campus after five years with salary expectations. Organizations that trust their employees first will always win in both the down and up cycles.” Source