According to the most recent poll by the multinational professional services company Aon Plc, India experienced an attrition rate of 20.3% in the first half of 2022, a marked increase following the two years of lockdown brought on by the Covid epidemic. The attrition rate revives the discussion surrounding the widespread resignation that industries worldwide encountered.
Since the employment market began to open up globally in the post-pandemic era, the term “great resignation” has been making the online rounds. While businesses tried to get back to normal after the epidemic, the past 18 months have seen technology companies see significant staff departures.
The study also reveals that salaries in India are anticipated to rise across industries by 10.4% in 2023, compared to an actual growth of 10.6% to date in 2022, which is marginally higher than the increase forecast of 9.9% in February.
The attrition rate across all industries in India in 2022 was only slightly lower than the one experienced in 2021, showing intense pressure on businesses to keep their staff. That tendency is anticipated to continue for the remainder of the year, according to the survey.
Since Russia invaded Ukraine earlier this year, employee attrition has soared and refuses to go away. At the same time, the global economy has started to stall.
According to the recruitment firm Michael Page, employee attrition in India is expected to be 86% in 2022. According to the survey, over 60% of Indian workers would be willing to accept a lower wage in exchange for a better work-life balance.
According to reports, the Great Resignation was brought on by career advancement, a change in industry or job, dissatisfaction with pay, and dissatisfaction with the company’s strategy or direction.
Hostile management or the workplace environment were said to be the cause of the rising rate of employee attrition from 2021 to 2022. Additionally, workers leave their jobs to pursue higher education. In comparison to 2021, this figure dropped in 2022.
The sector with the highest projected increase in salaries is e-commerce, with a projected increase of 12.8%, followed by start-ups with a projected increase of 12.7%, hi-tech/information technology and information technology-enabled services with a projected increase of 11.3%, and financial institutions with a projected increase of 10.7%.