Cognizant CMD affirms business unaffected amidst poaching allegations

Cognizant India Chairman and Managing Director, Rajesh Nambiar, addressed concerns surrounding employee poaching allegations leveled against the company by domestic IT firms, particularly Infosys. The ongoing poaching war among IT giants has escalated in recent weeks, with Infosys accusing Cognizant of employing unethical tactics.

In response, Nambiar stated that the issue has not adversely affected Cognizant's business and operations. While refraining from delving into specifics, he acknowledged that companies have the prerogative to enforce contracts with their employees. However, he emphasized that there should not be a broader industry-wide norm on non-poaching, citing the historical movement of talent between companies as integral to the industry's growth.

Nambiar, who also serves as the chairperson of the industry body Nasscom, asserted that the poaching allegations have had no impact on Cognizant or the industry as a whole. He highlighted Cognizant's approach to hiring, mentioning that even at the entry level, the company does not enforce bonds or service agreements and actively recruits from campuses.

Regarding the reported hiring of nearly 20 senior leaders by Cognizant CEO Ravi Kumar, many of whom were previously associated with Infosys and Wipro, Nambiar emphasized the importance of understanding the dynamics of employment contracts. He acknowledged the existence of a free job market but stressed the need for employees and their respective companies to establish a clear understanding of how they navigate such situations.

In conclusion, Nambiar expressed the belief that greater employee mobility is essential in the professional landscape, but it should coexist with a mutual understanding between employers and employees on contractual obligations. The overarching message is that Cognizant remains unaffected by the ongoing poaching allegations, maintaining its commitment to a transparent and open hiring environment.