In January, Business Matters took a look at IT industry jobs and noted that when slowdowns had hit the industry in the past, companies rarely resorted to large-scale layoffs. They preferred to slow down hiring and went especially slow on fresher intake from college campuses. Now, we will see how this has panned out. The results of 3 reputed IT companies show that while revenue and profit growth for FY23 have been moderate to good, their attrition has continued to be high. Attrition pertains to employees voluntarily leaving the company, expressed as a percentage figure. Why is manpower count important for those looking at the health of the company? Note that about 45% of revenue is taken up by employee costs for these companies. For TCS it is at 44%. One sure-fire way of controlling costs is to manage headcount addition so that the associated costs do not rise so sharply as to impact profits. How does the year ahead look? TCS does not give any guidance or estimates for the future. But it did say that for the past year, it was impacted by slower decision making by IT clients, especially in the banking sector following the Silicon Valley Bank crisis that unfolded during the quarter. Shortly thereafter European financial major Credit Suisse almost collapsed before being saved by a state-induced buyout by another major in that country, UBS. Script and presentation: K. Bharat Kumar Production: Shibu Narayan Videography: Johan Sathyadas J Thank you for watching our video! You can subscribe to our channel here: https://bit.ly/3c8Adi6 Visit https://www.thehindu.com/ for the latest updates, analysis, opinions, and more. You can also download our apps: Android: https://bit.ly/3nboBEi iOs: https://apple.co/3EDCwt4 The Hindu is committed to keeping you up-to-date with information on the developments in India and the world. We promise to deliver quality journalism that stays away from vested interest and political propaganda. You can support us by subscribing to our digital offerings here: https://bit.ly/3emywiz Follow us: Twitter: https://twitter.com/the_hindu Instagram: https://www.instagram.com/the_hindu/ #economic #itcompanies #tcs