The “Great Resignation” has hit India hard, with an increasing number of professionals quitting their jobs due to dissatisfaction, burnout, and better opportunities elsewhere. While this global trend emerged post-pandemic, India’s IT sector and white-collar workforce have been particularly affected. The country has seen record attrition rates, leaving businesses struggling to retain talent.
But what’s driving this mass exodus of skilled employees? Is it poor job satisfaction, lack of work-life balance, low salaries, or a toxic work culture? This article explores why professionals are resigning in record numbers, how it’s affecting businesses, and what organizations can do to retain employees.
The Great Resignation Strikes India
| Aspect | Details |
|---|---|
| India’s Attrition Rate | 25-30% in IT sector, highest in recent years |
| Main Reasons for Resignation | Burnout, work-life balance, low salaries, lack of career growth |
| Industries Most Affected | IT, Banking, Consulting, Healthcare, BPO |
| Global Opportunities | Remote work offers better international job options |
| Retention Strategies | Higher salaries, flexible work, mental health support, career growth |
| Impact on Companies | Increased hiring costs, project delays, knowledge loss |
Source: NASSCOM, LinkedIn Workforce Reports
The Great Resignation in India is a wake-up call for companies to prioritize employee well-being, fair pay, and career growth. Businesses that fail to adapt will continue to lose top talent. Meanwhile, employees are now empowered to seek better work environments and opportunities.
Key Takeaway: Retaining employees isn’t just about salaries—it’s about respect, flexibility, and growth opportunities.
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The Great Resignation Strikes India: Why Are Indian Employees Resigning?
India’s workforce has gone through a major mindset shift post-pandemic. Employees are no longer willing to tolerate stressful jobs, low salaries, and toxic work environments. Let’s break down the key reasons behind this high attrition trend.
Demand for Better Work-Life Balance
During the pandemic, people realized the importance of family time, hobbies, and mental health. Long work hours, daily commuting, and high-pressure work environments have led many employees to quit in search of better flexibility.
Example: A software engineer in Bangalore resigned from a top IT firm because of 12-hour workdays and weekend calls. He now works remotely for a US-based company with higher pay and flexible hours.
Remote Work & Global Job Opportunities
The rise of remote jobs has changed the employment landscape. Indian professionals are now competing for international roles that offer better pay, work culture, and career growth.
Fact: According to LinkedIn, remote job postings in India increased by 350% in 2023, and many professionals prefer work-from-home roles over office-based jobs.
Low Salaries & Pay Disparities
Despite India’s booming economy, many professionals feel underpaid compared to global standards. With companies offering 20-50% hikes to attract talent, employees are quitting their current jobs for better salaries.
Fact: A recent Naukri survey found that 74% of employees quit jobs due to inadequate salary hikes.
Toxic Work Culture & Burnout
India’s high-pressure corporate culture often expects employees to work long hours, meet unrealistic deadlines, and be available 24/7. This has led to burnout, mental health issues, and resignations.
Example: The tragic death of a young accountant at EY India in 2024 sparked a national debate on workplace stress. Employees are now prioritizing mental health over job loyalty.
Lack of Career Growth & Upskilling Opportunities
Many employees feel stuck in dead-end jobs with no clear growth path. Younger professionals, especially Gen Z and Millennials, prioritize learning new skills and career progression over job security.
Example: A 28-year-old digital marketer resigned after 3 years because there was no promotion. He took an online course, switched careers, and doubled his salary.
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The Great Resignation Strikes India: How Is This Affecting Indian Companies?
The Great Resignation is not just a concern for employees—it’s a big challenge for businesses. High attrition rates mean higher hiring costs, delayed projects, and loss of skilled talent.
Top Impacts on Businesses
- Higher Hiring & Training Costs: Replacing employees is expensive—hiring, onboarding, and training new talent costs 2-3 times the employee’s salary.
- Loss of Institutional Knowledge: Experienced employees leaving means companies lose valuable knowledge and expertise.
- Project Delays & Productivity Issues: Frequent resignations disrupt ongoing projects and decrease team productivity.
- Decreased Employee Morale: High attrition creates stress for existing employees, increasing workload and lowering motivation.
Data: A report by Team Lease Services found that attrition rates in India’s IT sector have reached 25-30%, with over 1 million professionals resigning in 2023.
The Great Resignation Strikes India: How Can Companies Retain Their Best Talent?
To reduce high attrition, organizations must prioritize employee satisfaction. Here are some key strategies:
Offer Competitive Salaries & Benefits
- Regular salary hikes that match market standards.
- Performance-based bonuses and incentives.
- Stock options & ESOPs to retain long-term employees.
Promote Work-Life Balance
- Flexible work options (hybrid or remote).
- No after-hours emails or weekend work.
- Paid mental health days.
Improve Career Growth & Upskilling Opportunities
- Sponsor certifications, courses, and leadership programs.
- Clear promotion paths and career roadmaps.
Create a Positive & Inclusive Work Culture
- Address toxic work environments and encourage open communication.
- Regular team-building activities and mental health initiatives.
Strong Leadership & Employee Engagement
- Transparent leadership with regular check-ins.
- Employee recognition programs to boost morale.
Case Study: Infosys implemented a structured upskilling program and improved employee benefits, leading to a drop in attrition from 27% to 20% in 2023.
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The Great Resignation Strikes India (FAQs)
Why is the Great Resignation happening in India?
Indian employees are quitting due to burnout, low salaries, work-life balance issues, and better opportunities elsewhere.
Which industries have the highest attrition?
IT, BPO, Banking, Consulting, and Healthcare have the highest resignation rates.
How can companies reduce attrition?
Offering higher pay, flexible work, mental health support, and career growth are key solutions.
Is remote work making attrition worse?
Yes, because employees now have access to global jobs, making it easier to switch roles.
What can employees do if they feel stuck?
Consider upskilling, negotiating better pay, or exploring new career paths.
