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Thursday, June 11, 2026 12:09 PM

IT Sector India

Wipro Sees Attrition Ease to 13.8% as Hiring Slows Amid Uncertain Demand

Wipro reported a modest improvement in employee retention, with attrition declining to 13.8% in the fourth quarter from 14.2% previously. However, hiring momentum remained subdued, as the company added just 136 employees between January and March, taking its total workforce to 242,156. This comes after a significantly stronger December quarter, during which the company onboarded over 6,500 employees. Wipro stated that its hiring strategy is now more tightly aligned with project demand, reflecting a cautious approach in a volatile business environment. The company had earlier revised its fresher hiring target for FY26 downward to 7,500–8,500 from the initially planned 10,000. It ultimately hired 7,500 fresh graduates during the year but refrained from offering hiring guidance for FY27, citing ongoing uncertainty. Meanwhile, rival Tata Consultancy Services (TCS) reported a notable decline in its overall workforce for FY26, ending the March quarter with 584,519 employees—a reduction of over 23,000 compared to the previous year. Despite a slight increase in attrition, TCS added more than 2,000 employees sequentially and indicated that its restructuring phase has concluded. The company also signaled plans to ramp up campus hiring going forward. On the financial front, Wipro posted a 1.6% drop in annual revenue in constant currency terms for FY26, mirroring broader industry trends impacted by geopolitical tensions, slower deal ramp-ups, and disruptions driven by artificial intelligence adoption. The company’s total revenue stood at $10.48 billion for the fiscal year ending March 31. For the fourth quarter, Wipro reported revenue of ₹24,236 crore, marking a 7.7% year-on-year increase and a 2.9% sequential rise. Net profit declined marginally by 1.9% compared to the same period last year to ₹3,502 crore, though it registered a 12.2% increase on a quarter-on-quarter basis. TCS also reported its first annual revenue decline since listing, with a 2.4% drop in constant currency, attributing the slowdown partly to AI-led shifts in the industry. While ongoing tensions in West Asia have not yet materially impacted revenues, companies remain cautious and are factoring in potential risks if the situation persists. Source: Economic Times

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Infosys limits WFH exemptions to five days per quarter, aligning with stricter policies at TCS and Wipro

Infosys has further tightened its work-from-home (WFH) framework, placing a cap on exemptions from working at the office (WFO) at five days per quarter, except in cases involving serious medical conditions of employees or their dependents. Any request beyond this limit will require valid medical documentation, including a doctor’s verification. Currently, employees at job level 5 and below are mandated to work from the office for at least 10 days every month. The new restriction specifically applies to requests seeking additional WFH days beyond this requirement. Managers have informed teams that there has been a sharp rise in last-minute WFH requests, prompting the company to enforce stricter planning and system-based pre-approvals rather than informal email requests. Managers have also clarified that requests not aligned with policy leave them with little flexibility. While Infosys has not officially commented, people familiar with the matter said that the company continues to allow up to 30 additional remote working days in cases of critical medical emergencies. The move is notable as Infosys leadership had recently stated that no changes were planned to its hybrid working approach. CEO Salil Parekh, during a post-earnings interaction earlier this month, had emphasised flexibility in how employees engage with the company and its clients. Infosys, which employs over 300,000 people, introduced its return-to-office policy in November 2023, requiring a minimum of 10 in-office days per month, though strict enforcement began in March last year. Employees must also spend at least three hours per day in the office. The tightening of norms mirrors similar steps by peers. Wipro has revised its policy effective January 1, requiring employees to work from the office three days a week for at least six hours daily, while cutting allowable remote days to 12 from 15 earlier. Meanwhile, TCS implemented a five-day office workweek last year and linked variable pay to office attendance, allowing limited WFH only for health-related reasons. Industry observers say these measures reflect the IT sector’s push for greater in-person collaboration amid shorter project cycles and slowing revenue growth, especially as AI-driven automation reduces dependence on large, people-intensive delivery models. Staffing experts suggest that 2026 could see more firms moving towards full-time office attendance, at least on designated workdays, to maintain agility and team coordination. Source: Economic Times

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