By; Anubhav Shrivastava
Anubhav is a seasoned IT Consultant based out of London specializing in delivering Digital Transformation and Business Process Management projects. He has worked extensively with teams based out of India, Sri Lanka and the United Kingdom.
India is yet again undergoing a reshuffle, particularly in the IT domain. Although this expands the canvas of opportunities for the employees, it entails considerable risks for the organisations. It may seem counterintuitive but the mounting attrition rate is being supplemented by plummeting offer acceptance rate, thus adding to the challenge being faced by the employers. As per a report by Aon, there has been a surge in attrition rates from 12.8 per cent in 2020 to 21 per cent in 2021.
The pandemic has accentuated the sanctioning of additional technology globally and the reluctance to opt for bold career decisions is dwindling.
While startups are empowering the millennials to switch careers, the urban acronym YOLO (you only live once) is getting increasingly popular amongst the ‘Gen-Z’.
This generation of employees seeks comfort as compared to survival that was seeked by their parents and grandparents. The growth in risk appetite is enabling the employees to make resolute professional choices.
Furthermore, contrary to the dated belief, compensation isn't the only pivotal factor constituting to the desirability of a job.
The cultural paradigm is shifting towards maintaining a better work life balance.
In addition India is undergoing a metamorphosis from high power distance culture where equality subordinates hierarchy, to a democratic and egalitarian low power distance culture.
Autocracy has been a major factor contributing to burnouts and job dissatisfaction. The disgruntlement has been fuelled further by unpleasant client experiences due to lack of cultural relativism.
In an era of personalization, organizations continue to be governed by archaic ‘one size fits all’ policies. It’s about time that the significance of demographics is acknowledged while drafting organisational policies. Flexibility in work needs to be at the core of the organisation’s culture. For instance working from home isn't a luxury anymore and needs to be normalised. Rather than ‘allowing’ remote working few days a month, employees should be encouraged to work from wherever it suits them the most. Major Indian cities that offer professional growth are gridlocked thus squandering people’s time and contentment- two core constituents of productivity.
A record number of jobs are being offered by an ever evolving technology landscape in India. According to the Naukri report, there was an average 59 per cent year-on-year growth in Oct-21. Even a moderately successful startup or a freelancing job can be more rewarding in terms of job satisfaction and remuneration. With the youth securing most of C-level positions, the startups are disrupting the tech industry and redefining the perception of work. With increasing mental health awareness employees are making informed decisions about not just the quality of work but the quality of life as well. According to a Forbes report, 1 in 4 Indian companies is investing to create a culture of well being for their employees.
In a developing nation like India where unemployment benefits are nonexistent, there is a constant impulse to outdo oneself and make the most out of the opportunities. This urge can be attributed to the fact that compared to the developed nations, its challenging to secure a mortgage in India and the interest rates are way too steep. And when social media has blurred the geographical boundaries, people are no more obvious to the international standards of living.
Furthermore, the rising attrition rates are shadowed by mounting offer rejection rates as employees go ‘offer shopping’.
Although this may be a flustering experience for the organizations, the psychology behind the great resignation is also a byproduct of the employers making the employees feel dispensable. Tech giant Infosys clocked an attrition rate of 25.5 per cent in Dec 2021 while Wipro’s attrition rates surged to 22.7 per cent.
The cons of staying in the same organization for a very long time seem to outweigh the pros in most cases. Switching a job in IT can secure as much as 100% hike in remuneration for the appropriate skillsets. While employers used to counter the increased remuneration earlier by overseas opportunities, the travel restrictions imposed by the pandemic has put a check on this strategy. Albeit mid-level organisations are attempting to curb the attrition rates by offering promotions and considerable salary hikes, the MNCs usually undergo a prolonged pivot.
As per the market experts this balance shift is here to stay. But contrary to the perception the great resignation is one of the better news for developing nations considering the fact that there is a continuous increase in hiring for freshers. Furthermore better prospects, enumerations and improved work-life balance can lead to a happier work force and hence help companies thrive.
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