Attrition saga: Many who left are CEOs

Vice-president HR of Infosys BPO Nandita Gurjar is not worried about the high attrition rate. She is busy putting a robust succession plan in place for an organsation which she claims was already top heavy. . Excerpts:

Why has the attrition at top level been so high in the past few months?

Infosys BPO was a top-heavy organisation. Many senior executives left as they wanted to start something of their own. Others left as they felt their role in the bigger company had become much smaller. Some left as they could just not cope up with the change. While about 50% of them were asked to go, the rest quit voluntarily. Many top execs were not performing commensurate with the salaries they were drawing.

Obviously, the company could not tolerate lower performance. As a result, growth of some people at the top got stagnated and the role of some was reduced. Indirectly, message was communicated that Infosys cannot be second best in anyway. We are a 70,000-employees strong now with a strong management team and succession planning in place. But what really frightens me is that many who left are earning higher salaries and have gone on to become CEOs. I guess, it’s all part of India shining.

Was the shattering of the BPO’s IPO dreams a major reason behind top-level exits?

Yes, it was. When the company was formed, it was a clear direction that it was moving towards a listing. It played a major role in attracting and retaining employees, but when it became a part of Infosys, that dream was shattered and many top managers left.

What do top level exits mean to entry-level employees in the BPO industry?

Many top-level and mid-level employees (including assistant managers and team-leaders) have started hopping as many 2-3 companies in a year. And these are the same people who once counselled entry-level employees towards loyalty and persuaded them to stay put. At the end of it all, the entry-level employees realises that it’s all hoax. Obviously, they get demotivated. So over all, it’s a very disturbing situation. In the BPO business, most impact comes not from entry-level attrition, but top level attrition. And ultimately it’s the country, which will lose out.

What steps are being taken to control attrition?

About 8% of the attrition during first year occurs due to people leaving for higher education. An MBA degree was the most sought after besides a CA and CFA qualification. Therefore, we tied up with institutes like Symbiosis and Amity for on-campus classes. Employees with 4-5 years of experience were interested only in premier B -schools. So, we tied up with IIM-B for an exclusive 18-month programme which has become a big hit. Infosys BPO has also tied up with 27 colleges and universities in B and C class towns to educate students about the BPO industry.