Impact of Employee Engagement on Retention of Employees:A Study of Some Selected Information Technology & Information Technology Enabled Services (IT & ITeS) Companies in Pune City

While this study was in progress, two men at the top of India Inc., Cyrus Mistry and Vishal Sikka made abrupt exits leading to knee-jerk reactions in the corporate circles. Such was the impact of Vishal Sikka’s exit that it led to an erosion of around Rs. 22,000 crore of shareholders’ wealth on a single day. Uncertainty has not just crept at the top, thousands at the middle and lower level in the IT industry have been handed over the pink slip. This study tries to understand the phenomenon of such disruptions amidst high talks on employee engagement as a part of retention strategies of the HR. Instead of engaging in ‘rhetoric but theoretical’ investigation, this study attempts a ground level realistic assessment of employee engagement practices at select IT & ITES companies. Who should decide as to what engages an employee? Is it Mr. Narayan Murthy? Or is it Vishal Sikka? Will it be risky if the employees are engaged too much? Should the engagement be only reasonable? Such fundamental and realistic questioning is the framework of this study.