Infosys’ employee utilisation or the efficiency level in December quarter was the highest the company achieved in any quarter in the last 11 years. It increased every quarter in the last one year indicating the company is experiencing or expecting good growth, according to analysts. However, with an employee utilisation of 82.7 per cent (excluding trainees) Infosys is behind leader Tata Consultancy Services’ 86.7 per cent.
key driver
The higher utilisation, which was a key driver for margin expansion during the third quarter, and hiring concomitant with a decrease in attrition means that the company is experiencing growth, said an analyst.
According to Aditya Narayan Mishra, President, Staffing, Randstad India, an HRcompany, higher utilisation leads to higher employee engagement and this could reduce attrition. When someone is on the bench or on a long spell of training, one does not contribute in the short term, to any client project or assignment. This leads to disenchantment and eventually to disengagement of employees could trigger attrition.
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