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India's leading IT firm Infosys battles an exodus of workers

Published on May 11, 2014 10:39 AM
 
In this photograph taken on April 16, 2013, the Infosys company logo is pictured during the Innovation Showcase exhibition on the sidelines of the Fourth Clean Energy Ministerial in New Delhi. Infosys staff are leaving at an unprecedented pace as the Bangalore-based company struggles to regain ground lost to rivals. -- FILE PHOTO: AFP

MUMBAI (REUTERS) - Infosys Ltd, once a bellwether for India's US$100 billion-plus (S$125 billion) IT outsourcing industry, is losing its cachet as the employer of choice for a generation of young IT workers, with staff leaving at an unprecedented pace as the Bangalore-based company struggles to regain ground lost to rivals.

Current and former Infosys staff interviewed by Reuters say morale has been dented by a series of senior management exits and worries about career prospects as the company's revenue and pay increases grow at a slower rate than at competitors such as Tata Consultancy Services Ltd (TCS).

Annual revenue in the year to end-March rose 24.2 per cent, lagging growth of 29.9 per cent at TCS.

The annualised rate of attrition at Infosys - effectively the number of staff leaving or retiring - was a record 18.7 per cent at end-March, 2.4 percentage points higher than a year earlier. That's close to a fifth of the company's workforce of more than 160,000. The attrition rate at market leader TCS was 11.3 per cent.

 
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