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The report expects a per cent voluntary attrition for Bengaluru-based companies and marginally lower for others. On a quarterly basis, attrition will be per cent. Backfilling of attrition will typically cost more and will be either through sub-contractors that cost at least 30 per cent more than own employees or lateral hires that cost at least 30 per cent higher.

Either way, the report expects margin headwinds on a quarterly basis even if companies do not have a pending wage revision. A few companies such as Infosys and Wipro might end with per cent attrition. Companies are running at record utilisation rates that is unlikely to sustain. Companies need a higher bench to meet demand and create a cushion against the backdrop of high employee churn. We expect strong hiring numbers that will be weighed towards freshers, according to the report.

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