In a first, Wipro is set to offer promotions to its top performing employees every quarter. “Going forward, the company has decided to offer quarterly promotions to its top performers, up to mid-management level,” a company executive close to the matter informed Livemint.
The Bengaluru-based IT firm – fourth largest in India – will also give a pay hike of 10 per cent to the majority of its employees. The top performers may also receive a 15 per cent salary increment, as per the report. “Wipro is expected to roll out the hikes in September,” the executive said.
Amid the pandemic, attrition rate in the IT sector has been rising consistently and has now reached a new high. This scenario is said to be playing out at all the top information technology companies- Tata Consultancy Services (TCS), Infosys, and Wipro.
Wipro had reportedly recorded an attrition of 23.8 per cent in the March quarter. The company, which had a staff count of 243,128 as of March-end, is set to release the results for the first quarter on 19 July. India’s top software services firm TCS announced an attrition of 19.7 per cent in the June quarter.
Attrition rate, also called ‘churn rate,’ is the rate at which people leave a company. It is the number of people who have left the company, divided by the average number of employees over a period of time.
Experts believe that the high demand due to rapid Covid-19 induced digitization, coupled with the rise of new startups offering much better perks than IT behemoths is responsible for this attrition.