Employee Retention Strategies at Selected IT Organisations, Hyderabad

Abstract

Innovative, efficient and effective strategies of an organisation to retain their best talents are called employee retention strategies; a voluntary attrition is a dysfunctional employee turnover where the best employees of an organisation leave the organisation voluntarily. In the present day scenario voluntary attrition is termed as the great resignation [1] in the Information Technology (IT) sector, this great attrition has continued since 2020 and is predicted to continue till 2025 so employee retention has become a challenging task for IT sectors to retain their best talents. Every organisation to gain competitive advantage should follow the best retention strategies. At the end of the Year 2022, software industries recorded an average of 20 to 25% [2] attrition rate which is the highest record that the IT sector has ever seen in the past 10 years and now in the year 2023 it is 17-18% on average in June quarter and is even predicted to continue in the recession period in top IT industries called Brain drain, so tracking the great talent exodus in IT sector has become a critical and ongoing challenge for the IT industries. This paper empirically reviews the various available reviews of literature and research work already done and this paper also reveals that in addition to monetary benefits there are many other retention strategies to retain the best talents. This paper also studies the perception of employees on employee retention strategies and the relationship between demographic factors like gender, age and experience towards employee retention strategies. The data was collected from 100 employees by convenience sampling procedure and the statistical tools like percentage, mean, regression analysis and ANOVA techniques have been used for data analysis. It has been observed that there is a significant difference between the age of employees and intention to stay and there is a significant impact of retention strategies on the intention of the employee to stay back in the organisation. Each employee is unique in terms of their perception towards employee retention strategies. A strong employee value proposition (EVP) can act as the best retention mantra.