Attrition in the Information Technology (IT) Industry using HR Analytics


  • Deepak Tandon
  • Shruti Gupta
  • Neelam Tandon


The Information Technology (IT) Industry is growing rapidly and transforming the business standards of tomorrow. IT Industry has already gained a lot of traction at the global level shifting towards the fourth industrial revolution (industry 4.0) by adhering to cutting-edge technologies through digital transformation. As per the reports received for India, IT spending is expected to reach US$94 billion in 2020 itself. But it is seen that high attrition rates or the turnover ratio of employees is impacting the performance of the IT Industry drastically. While a certain rate of attrition is natural and even desirable as it aids organizations in infusing new talent and managing margins, attrition that is regrettable (critical talent, high performers, employees trained in latest technology areas) leads to a major cause of concern as the cost associated with replacement can be great and the time lost in recruiting new employees may affect business. The authors have conducted both qualitative and quantitative exploratory research to understand the various factors that affect employees’ decision when they decide to leave or stay. Survey/interviews/focused group discussion of 140 respondents from different industries in which the majority of respondents were from IT Industry were conducted. Cronbach alpha, One sample T-test, Group tests and independent sample tests were applied to check the validity of the constructs. Reliability test relating to compensation, organisation culture, career development, work life balance was done. It was concluded and also suggested that the organisations that have good culture, positive working conditions and career growth have less attrition and better employee morale as compared to their counterparts.