Retain me if you can….3 months Notice Period Makes a Big Comeback

Techies have made HR’s life miserable in IT. HR is applying all possible tactics to hire as well as retain high-quality workforce. Recently new policies are popping out to retain these job hoppers. To counter the high attrition rates plaguing them, domestic and MNC technology firms are introducing – or returning to- a three-month, notice regime mandatory for all exist except for some very few senior positions.

Now markets have improved significantly techies have started getting good offers and pouching is in its peak. The one month notice system was a blessing, in that also many employees used to leave the organizations by giving 2 to 3 days notice and just run away And new firm used to ‘buyout’ by paying the loss of pay. ‘Buy-out’ refers to the practice of hiring companies giving the employees the money required (normally one month full salary) so that the employee can pay off his current firm and join the new one immediately. Now 3 months regime makes buy-out tougher for poachers.

Attrition rate update:
Tier I firms- 17%
Tier II firms- 25% to 30%

What do you think will it work? Yes it will make going tough. If one wants divorce is there any point in dragging the relationship? I think it will be just holding someone to show the numbers on roll. But will they give the expected productivity. There used to be one month honey moon period when someone used to resign which now h/s will enjoy for 3 months. There is a possibility that employees will use unethical practices and will just run away.

It may work on paper but will it be a good policy?

HR folks working hard all the best… Retain them if you can…