BPOs have always been fighting one problem or the other. Earlier it was attrition and now it is recession.
Here I will talk about attrition though. BPOs have one of the highest attrition rates.
Why is attrition so high in BPOs?
Hiring managers in these companies say that it is because the young crowd frequently hops job to get meagre salary increases.
Is it actually the case? I think otherwise. And my thinking goes back to the time when BPOs were first coming to India.
How did hiring managers lure talent to join BPOs with no visible career in sight, for doing jobs that offered no satisfaction, and improper work timings?
They lured people to join BPOs with the big money. The young boys and girls had the opportunity to earn more than what their parents earned after decades of service.
They loved the money. They loved the high life. For this they were ready to forego the other expectations from job.
But they had tasted blood.
And ever since their decisions to change job were influenced by money.
This has become particularly tough in these times of economic slowdown when the salary bills are turning out to be more burdensome for BPOs.
So who do you blame for attrition now – the young crowd or the BPOs themselves.
ItyaAdi 
good and insightful post on BPO’s
For BPOs, attrition rates were always high eve in good times. I’d not like to blame BPOs for offering attractive salaries. If any employer can afford higher pay-packages, it should share it with its employees. BPOs earned because of their employee’s strength and they in turn shared a good chunk with them, so its perfectly fair. But the causes of present recession have nothing to do with these industry. Every Industry need to re-think their strategies to ride over the recessionary times for their survival. Blaming is merely its byproduct.
i am not telling that recession has been caused by the high salary that BPOs are offering. also i am not blaming them. if anyone has to take up the blame it will be the US. an interesting article on Economic times listed 12 murderers (causes of recession) of the economy. about 10 were US born.
I am just telling that BPOs started the trend of attracting and poaching talent with bigger salaries. and now that the times are tough, they are finding it tougher to pay their employees.
I think that BPOs shud collectively decide on cuttin down salaries to keep them afloat, especially if obama is elected BPOs can be in more trouble
alwys thought tht BPO ppl hav a high flyin life, th reasons are obviously diff than the Pharma industry (whch too has a high attrition owing to talent crunch mainly)
i knw a few ppl who shifted juss because few frm thr office gang shifted…and thr can be many othr reasons apart frm th salaries