As Infosys announced its quarterly results for the April-June period, the company also reported a decline of 6,940 employees in its workforce, taking its total employee count to 336,294. Citing data for the top four IT services companies, The Economic Times (ET) reported a net downfall of 17,335 employees compared to an addition of 52,842 employees during the same period last year.
Talking about the development, the CEO and MD of Infosys told ET, "We will look at that (hiring targets) based on what the demand environment looks like and how we see the rest of the year playing out."
Usually, Infosys announces salary hikes in the month of April, however, the company is yet to do the same for this year. Parekh said that the company is still in the process of evaluating the increments, the report added.
Employee costs shot up 13 per cent of the company over the year. Other major IT players also reported unexciting hirings during the first quarter of the financial year 2023-24.
The country's largest IT services company, TCS registered a slowdown in its hiring as the company added 523 employees in Q1FY24 compared to 821 in the last quarter. Comparing the numbers with new hires during the same quarter last year reveals a clearer picture of the change in the company's outlook, as the company hired more than 20,000 employees in Q1FY23.
Wipro and HCLTech presented a similar picture. Representatives from HCLTech were cited in the ET report as saying that the company had decided to postpone the compensation review by a quarter. Moreover, senior management at HCLTech will not be receiving pay hikes this year.