Subcontracting costs rise 60% in 2 years for top four IT firms

Subcontracting costs incurred by India’s top four IT firms have risen nearly 60% in the last two years, fuelled by heightened attrition and digital upsurge that the sector witnessed after the pandemic.

Outsourcing cost of Tata Consultancy Services, Infosys, Wipro and HCLTech increased to more than Rs 62,939 crore ($7.6 billion) for the year ended March 31, 2023, compared with Rs 39,368 crore ($4.8 billion) in fiscal 2021, according to data compiled by specialist staffing firm Xpheno.