Infosys’ revenue per employee rises to $54,600 in Q4

New Delhi: Infosys’ revenue per employee rose to USD 54.600 in the fourth quarter and full year, indicating that the company has found more efficient ways to generate higher revenue per employee.

Revenue per employee, as defined by investinganswers.com, “Is a measure of how efficiently a particular company is utilizing its employees. In general, relatively high revenue per employee is a positive sign that suggests the company is finding ways to squeeze more revenue out of each of its workers.”

As automation and productivity improvements kick in, the IT industry has been looking at improving this metric.

 Ideally, the number of people hired per dollar added in IT export revenue should go down each year, if companies are to improve their productivity and have a non-linear growth.

This move towards non-linearity, or decoupling revenue growth from a proportionate headcount growth has been talked about for almost a decade now.

The country’s second largest IT services company, which reported fourth quarter results on Friday, said its total workforce was 510,736 at the end of the quarter ended March 31, 2018, up from 498,154 in the previous quarter.

Of these, the number of billed employees on-site were 112,519, and offsite were 279,274.

The firm also said it hired 800 people in the US in the past two months, in line with the larger plan it announced in 2017, to hire 10,000 professionals in the country by 2019.

Attrition during the quarter rose to 19.5 percent on an annualised consolidated basis, a rise from 18.7 percent in the December quarter.

Utilisation including trainees was 80.8 percent and excluding trainees was 84.7 percent.

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