TCS to hire 60,000 in current fiscal

MUMBAI, INDIA: Tata Consultancy Services (TCS) Limited, India's largest software services exporter, said it will hire around 20,000 people in the next quarter for the current fiscal, 2011-12 and for the financial year it will be around 60,000.

“We will be hiring roughly around 17,000 to 20,000 people in second quarter, and  for the financial year it will be around 60,000.” Ajoy Mukherjee, TCS global head — Human Resources, said after announcing the financial results.

During April-June quarter, there was a gross addition of 11,988 people, and a net addition of 3,576, taking the total strength to 202,109.  

“We continued hiring in line with the business demand and we were able to continue to use our available resources efficiently as seen in the utilization rate continuing to be in 83 per cent range,” Mukherjee added.

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The same quarter, the company’s utilization rate excluding trainees touched 83.2 per cent and including trainees it was 76.2 per cent. However, the attrition rate stood at 14.8 per cent.

On attrition rate, Mukherjee commented that it would hover between 13-15 per cent given the IT industry’s cyclic growth nature during different quarters. “However, one of the reasons of attrition is that people want to pursue higher education as well as other opportunities,” he said. 

In the Q1, the workforce was predominantly a mix of 75 per cent laterals and rest 25 per cent freshers; however this ratio would change in later quarters.

While the issue of US visas has been impacting Indian IT industry, Mukherjee said, “We are getting US visas and are able to send people there; however, the rejection rate was the same as the last quarter but compared to last year the rejection rate is high.”

“Visa regulations in different countries change depending on time and situation and we comply as per those regulations. We have got enough number of visas and will be getting H1 visas by October,” N Chandrasekaran, TCS CEO added.