Employee Attrition in IT Industry, Puducherry – A Diagnostic study

Now a days IT industry in India is facing a serious problem i.e., employee attrition. Attrition is defined as reduction in the number of employees through resignation, retirement or death. Attrition takes place due to non fulfillment of employee expectation from the organization in return of services provided to them. It is a great challenge for the IT industry to find out the reasons of employee attrition and retaining the employees in the same organization so that the cost incurred for planning, advertisement, recruitment, training and development of new employees can be reduced. is study attempts to find out the causes of employee attrition, attrition rate and the ways to reduce attrition in IT industry, Puducherry. Interview schedule is used to collect the information from 300 employees of IT Industry in Puducherry. From the results it is concluded that major reasons for employee attrition were dissatisfaction with job , dissatisfaction with wages, marriage, accident or illness, the attrition rate is between 30% to 40% and some of the ways to reduce attrition were hiring right people, providing better compensation and benefits, provide growth opportunity, flexibility work arrangements, etc.