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Is Attrition still a problem?

By: Anil Kana on Friday, July 03, 2009, 06:26:10 PM

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“Attrition has come down”, I happened to see this posted in one of our (Indian) news papers recently, which started pinging me about thinking of something I want to know and discuss about- ”Has it really come down?”

When I approached a couple of people who serve the Human Resource Department for a reputed IT giant, their immediately reply was “Yes”. But when I inquired about the new hires, they admitted that their hiring capacity has come down by 90% compared to the previous year (2007-2008). The actual question comes here now about “attrition?”. According to them the attrition was about 14% in the last year (2007-2008) whereas this year (2008-2009), it stands at 5%, which is still high as per the global market conditions. By having these figures in hand, even an illiterate can deliver his judgment with no further debate. In this case, the “hiring” has cut down to 10%, but the attrition rate has just settled down at 36% (14% to 5%), which is according to me, is still sizeable. Now, with not much difficulty, you can guess the next words from the two gentlemen, yes your guess is correct “It has not”.

“An IT appointment is no more be a dream future for the college out-comers?”- Can anyone reply a “Yes” to this? Working after a considerable time in the IT arena, it might be a nightmare for some but people have to really acknowledge that it is one of the Industries worldwide, who accommodates huge number of jobs with attractive pay packages and is still a right path for right people.

Coming back to attrition, I went further to enquire the above two gentlemen about “Why do people change jobs?” Being in the HRD, their answers were not different but the most common complaint or rather a prime reason for many people which they often hear from the exiting employees is “Problem with BOSS”.

“A change is inevitable” but the change (or rather Attrition) causing by another employee is not what the company really expects. The root for most of the problems is that many of the companies (especially small sized) do not (even try to-its true) acknowledge that “Techies do not trade their time just for money”.

We will deal with “Problem with Bosses” & “The Two Faces of Attrition” in the next writes.

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