What is happening to the Indian IT bench? | Explained
Wipro has updated its bench policy, setting stricter limits on how long employees can remain unallocated before facing potential separation. This shift reflects a broader industry trend toward higher utilization rates and reduced bench strength among major Indian IT services firms.
Why it matters
Changes in bench policies signal shifting labor market dynamics and cost-optimization strategies within the massive Indian IT services sector.
The story so far: Wipro recently changed how long some of its employees can remain without a billable project. Under its revised bench policy, effective October 1, employees in Band 2 and below can reportedly remain unallocated for up to 180 calendar days. For Band 3 and above, the standard period is 45 days, while employees with disabilities have a 75-day period. Employees in Band 2 and below who remain unallocated for 180 days can be separated under their employment contracts. Wipro did not respond to queries from The Hindu.
The change comes as recent industry estimates point to shorter bench periods and lower bench strength. Average bench time at large IT-services companies was estimated at 35–45 days in 2025, compared with 45–60 days in FY20 and FY21. The proportion of employees on the bench was estimated at 2–5%, down from 10–15% earlier.
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