Aon India’s Talent Entropy Survey – The Rise and Rise of Technology Talent
With technology becoming a game-changer for almost all industries across India, the talent available to cater to this sudden upsurge, though being abundant, is not enough. “The Great Resignation” has not restricted itself to a buzzword anymore, as participating organizations show 26% higher attrition in 2022 as compared to 2021.
The war for talent coupled with a situation wherein we were dealing with a prolonged pandemic and high inflationary pressure has made the situation even more challenging. While these factors are leading to economic uncertainty globally fueling concerns, the Indian IT/ITeS industry may not have an immediate cause for worry based on a strong demand pipeline and the BPO/KPO arbitrage model.
Has the Global Uncertainty Started Reflecting in Slow Down in Demand and Lower Attrition?
Given the 27.14% average attrition for Niche/Digital Skills, it is safe to assume that the demand for digital talent continues to be strong and is relatively untouched by fears of a slowdown. In such an environment, short-term rewards-specific interventions are preferred, despite them not being the right choice in the long run.
Winning The War For Talent In The Short Term With A Focus Towards Buying Talent.
Talent acquisition teams have had a tough time in 2021, as they have been asked to replace record attrition while trying to grow double digit.
This has led to short-term rewards interventions. However, the right way to go is:
- As business models see increasing complexity and competing priorities, rewards teams need to develop a framework to identify and invest in the right skills for the firm.
- As talent supply remains a constraint going beyond traditional hubs for talent is becoming a key imperative for organisations in 2022.
- Today’s employee base is heterogeneous, meaning firms need to segment and create customised experiences for employees to generate stickiness. Hence, it is a good idea to look beyond rewards for long term sustainability.