Wipro Headcount Drops By 4,470 In Q3 Even As Attrition Stabilises

IT giant Wipro on Friday revealed a reduction of 4,470 employees in its headcount for the third quarter (Q3) of the fiscal year 2024. 

This comes in the wake of measures taken by the company to manage attrition, which reached a 10-quarter low of 12.3 per cent during the same period.

As of the quarter ending on 31 December 2023, Wipro's headcount stood at 2,40,234, down from 2,44,707 in the previous quarter (Q2 FY24). The sequential decrease in workforce indicates a strategic move by the company amid ongoing market conditions.

Wipro has been focusing on addressing attrition challenges and the Q3 results show a notable improvement. The attrition rate, which stood at 15.5 per cent in the previous quarter, stabilised further and reached a 10-quarter low at 12.3 per cent. 

However, the third quarter of fiscal year 2024 posed a significant financial challenge for Wipro, with a reported 11.9 per cent year-on-year (YoY) drop in consolidated net profit. The consolidated net profit for Q3 was Rs 2,700 crore, compared to Rs 3,065 crore in the same quarter of the previous year. 

Consolidated sales for the quarter were reported at Rs 22,205 crore, indicating a decrease from Rs 23,229 crore in the corresponding quarter of the previous year. The gross revenue reached Rs 22,210 crore, reflecting a 1.4 per cent decrease quarter-on-quarter.

On Friday, Tata Consultancy Services (TCS) and Infosys also reported a reduction in headcount by 11,781. This marks a continuation of the trend observed in the previous quarter, where the combined headcount of the two companies dropped by 13,863 sequentially. Specifically, TCS reported a sequential reduction of 5,680 in its headcount, while Infosys saw a dip of 6,101 during the third quarter of this fiscal year.