Infosys, the $64 billion IT software and outsourcing services company, is planning to restructure the role-based system the company adopted in 2001. The firm is currently in talks with consultants to diagnose if the 14 levels of roles can be cut down to seven. This is primarily being done so that the company can move people across various roles from its business process outsourcing (BPO) business to technologies business and vice versa. This will largely change the way compensations are given to the employees. The focus of restructuring is primarily to cut down attrition rate.
TV Mohandas Pai, member of board, director-HR, Infosys, said, “We want to retain the best talent as we invest about Rs 700 crore annually on our employee training. With the restructuring, we will be able to move people to other projects or levels if we find they have reached a level of incompetence, rather than asking them to leave.”
Currently, the company has 91,500 employees and the attrition rate at Infosys is 13.4%. It will add about 25,000 this year, of which 18,000 offers have been given to the students of engineering colleges and about 5000 graduates of India’s top business schools will also be given offers.
Nandita Gurjar, group head of human resources, said, “We want to go back to a single digit of attrition rate as was way back in 2004.”
The company will also introduce exams from entry level to middle management to be eligible for a promotion. It is also introducing soft skill training programmes for the first time.