Tech Mahindra adds 5,446 staff in Q2 as attrition eases to 11.7%
Representative image: Deeezy / Pixabay
Tech Mahindra's headcount rose by 5,446 to 152,206 in the September 2026 quarter, partly from an Orange deal transfer, as IT attrition eased to 11.7%.
What Happened
Tech Mahindra ended the July-September quarter with 152,206 employees, a net addition of 5,446 people from 146,760 at the end of June, the company reported with its second-quarter results for 2026-27 on Thursday, October 15, 2026. Its last-twelve-month IT attrition, the share of IT staff who left over the past year, eased to 11.7 per cent from 11.8 per cent in the June quarter and 12.8 per cent a year earlier, according to reports of the results. Chief Executive Mohit Joshi said the company is hiring from IITs, NITs and universities in the US and Europe as it works to raise productivity.
Key Facts
- Total headcount at the end of September 2026: 152,206.
- Net addition in the quarter: 5,446 employees, up from 146,760 at the end of June.
- Last-twelve-month IT attrition: 11.7 per cent, down from 11.8 per cent in the June quarter and 12.8 per cent a year earlier, according to reports.
- A brokerage note from Emkay Global said part of the rise came from employees transferred to Tech Mahindra under its large deal with telecom group Orange.
- Tech Mahindra reported deal wins (total contract value) of $1,023 million in the quarter, up 25.4 per cent from a year earlier.
- Management said AI tools should help it grow fixed-price projects without adding staff in the same proportion, according to reports.
- The company did not give a separate figure for freshers hired in the quarter in the reports reviewed.
Why It Matters
For people building a career in Indian IT, quarterly headcount numbers are one of the clearest signals of where hiring is heading. A net addition of more than 5,000 people in three months is a solid number for a company of Tech Mahindra's size. Together with lower attrition, it suggests the company is both adding staff and holding on to the people it already has.
The details matter, though. Net headcount is not the same as hiring. It is the result of everyone who joined minus everyone who left, plus other changes. In this quarter, part of the increase came from staff who moved over from a client under the Orange contract, a common arrangement in large outsourcing deals where the IT provider takes on some of the client's existing team. That means the number of brand-new hires, especially campus recruits, may be smaller than the headline suggests.
Falling attrition also cuts both ways for job seekers. For people already at the company, it points to a calmer market with less pressure to switch. For those trying to move in, fewer people leaving means fewer vacancies to fill.
The comment about AI tools is the part young engineers should watch most closely. Like other Indian IT firms, Tech Mahindra expects AI to let fewer people deliver the same work on fixed-price projects. Companies are still hiring, but they are increasingly looking for people who can work alongside AI tools, and the CEO's mention of hiring from top engineering institutes and from universities abroad points to a focus on specialised skills.
| Tech Mahindra workforce | June 2026 quarter | September 2026 quarter |
|---|---|---|
| Total headcount | 146,760 | 152,206 |
| LTM IT attrition | 11.8% | 11.7% |
Impact
Short-term: Hiring at Tech Mahindra looks steady, with steady deal wins supporting demand for project staff. Part of the growth is tied to the Orange contract, so roles linked to telecom clients may see more activity.
Long-term: As AI tools take over more routine work, the mix of jobs in Indian IT is likely to shift towards specialist and higher-skill roles. Graduates who build skills in AI tools, cloud and domain areas such as telecom may be better placed than those relying on general coding roles.
Who is affected: Engineering graduates and job seekers in IT; Tech Mahindra's current employees; campus placement officers; and IT professionals weighing a job switch.
Key Takeaway
Tech Mahindra added 5,446 people and saw attrition dip to 11.7 per cent in the September quarter, but part of the rise came from a client deal and AI is expected to slow how fast headcount grows.
Questions and Answers
How many employees does Tech Mahindra have after Q2 FY27?
Tech Mahindra had 152,206 employees at the end of September 2026, a net addition of 5,446 from 146,760 at the end of June, according to its Q2 FY27 results released on October 15, 2026.
What is Tech Mahindra's attrition rate now?
Its last-twelve-month IT attrition was 11.7 per cent in the September quarter, down from 11.8 per cent in the June quarter and 12.8 per cent a year earlier, according to reports.
Did Tech Mahindra hire 5,446 new people?
Not necessarily. The figure is a net change. A brokerage note said part of it came from employees transferred under the company's Orange deal, and the company did not report a separate fresher hiring figure.
What does Tech Mahindra's AI comment mean for job seekers?
Management said AI tools should let it grow fixed-price projects without adding staff at the same rate, so candidates with skills in AI tools and specialised areas may find better openings than those seeking routine roles.
Disclaimer: Prepared by the Peepals newsroom from publicly available sources with AI assistance. Information is accurate to the best of our knowledge at the time of publication and may change. Images may be representative. Not professional advice. Report an error via our contact page.
Sourced and fact-checked by the Peepals Global Editorial Team
Reported, fact-checked and published by the Peepals Global Editorial Team.
