Infosys Throws Down Gauntlet: Accuses Cognizant of "Unethical" Employee Poaching

The war for talent in the Indian IT industry has taken a dramatic turn, with Infosys firing a salvo at rival Cognizant over "unfair" poaching of its senior employees. This escalation adds another layer to the ongoing saga of intense competition and talent wars within the sector.

The Poaching Accusations:

According to media reports, Infosys sent a formal letter to Cognizant expressing concerns about the recent departure of several key figures to join its competitor. Sources familiar with the matter allege that Cognizant employed "unethical tactics" to entice talent, potentially including aggressive compensation packages and promises of rapid career advancement.

Fueling the Fire:

Infosys' accusation follows similar moves by its competitor Wipro, which sued two former executives who crossed over to Cognizant. This suggests a rising tide of discontent among IT giants witnessing a significant exodus of experienced personnel.

Key Players and Context:

• Infosys: Led by Salil Parekh, Infosys has experienced steady growth but faces the pressure of meeting ambitious expansion goals. Poaching of key talent could hinder its progress.
• Cognizant: Ravi Kumar, an Infosys veteran himself, took over as Cognizant's CEO in January 2023. Under his leadership, the company has aggressively recruited senior talent, including individuals from Infosys and Wipro.
• Industry Context: The Indian IT industry faces a talent crunch, with demand for skilled professionals outpacing supply. This scarcity of talent fuels the fierce competition and potentially unethical recruitment practices.

Potential Implications:

• Legal Battles: The Infosys letter might be a precursor to legal action, similar to Wipro's lawsuits. This could set a precedent for addressing talent poaching in the IT sector.
• Reputational Damage: Allegations of "unethical" tactics could hurt Cognizant's employer brand and potentially affect its ability to attract talent in the future.
• Talent Retention: Both Infosys and Cognizant need to focus on creating strong employee value propositions and fostering a culture of engagement to retain their workforce.