Infosys Layoffs: Centre Intervenes Again After NITES Lodges Complaint Against Firing Freshers

The Union Ministry of Labour and Employment issued a second letter directing the Karnataka Labour Commissioner to intervene in the recent layoffs of trainees at Infosys' Mysuru campus.

NITES lodges complaint against Infosys

The tech giant admitted terminating over 300 fresher trainees at its Mysuru campus. However, the Nascent Information Technology Employees Senate (NITES) alleged that the actual number was 700 raising a formal complaint with the Ministry of Labour and Employment.

According to the Senate, Infosys already delayed the joining of those freshers by 2 years after giving out the offer letters.

NITES claimed that Infosys forced the joinees to sign “mutual separation” agreements, making the layoffs appear voluntary.

The union demands the following actions:

• A formal investigation into Infosys hiring and termination policies

• A restraining order to prevent further layoffs

• Reinstatement of terminated employees

• Penal action against Infosys for violating the Industrial Disputes Act, of 1947

Following this complaint, Karnataka Labour Department officials investigated Infosys offices in Bengaluru and Mysuru.

However, Infosys defended its decision stating that the company follows a stringent hiring and training process.

It is a company mandate that freshers have to clear internal assessments within three attempts after training. Those who fail are not allowed to continue. Infosys clarified that this policy has existed for over two decades and was not randomly implemented.

If violations of labour laws are confirmed, Narayana Murthy’s company could face penalties or be obligated to reinstate terminated employees. 

A former trainee alleged that Infosys enrolled all trainees in the central government’s National Apprenticeship Training Scheme, which grants Rs 9,000 per trainee for 12 months.

However, they did not receive the full amount as they were asked to leave after about four months following several rounds of assessments.

Trainees also accused Infosys of failing to inform them that incorrect answers would result in negative markings in the assessments.

Also read: Indian Govt. Partners With Paytm To Foster Innovation And Growth Of Manufacturing And Fintech Startups (startuppedia.in)