Infosys, one of India’s leading IT companies, has recently terminated 240 trainees who failed to clear the internal assessments required for its ‘Generic Foundation Training Program.’ This decision, announced via internal emails on April 18, 2025, marks the second round of layoffs in recent months, following a similar incident in February where over 300 trainees were let go for the same reason.
The layoffs have sparked considerable controversy, with the National Information Technology Employees Senate (NITES) labeling the mass terminations as "illegal, unethical, and in violation of labour laws." According to a report by Times of India, the email sent to the affected trainees stated, "You have not met the qualifying criteria in the ‘Generic foundation training program’ despite the additional preparation time, doubt-clearing sessions, several mock assessments, and three attempts. As a result, you will not be able to continue your journey for the apprenticeship program." This message emphasized that the trainees had been given ample opportunities to succeed.
Infosys has offered support to the terminated employees, including free upskilling programs through partnerships with NIIT and UpGrad. These programs aim to prepare the affected individuals for potential roles in the Business Process Management (BPM) industry or to enhance their IT skills further. The company’s email elaborated, "As you explore opportunities outside of Infosys, we have planned professional outplacement services to help you on that journey. We also wish to offer you another career pathway, by taking an Infosys-sponsored external training to prepare for potential roles in the BPM industry." This initiative is also available to those who were laid off in February.
The recent layoffs come amid a challenging economic climate, with Infosys recently revising its revenue growth forecast for FY26 down to between 0% and 3%, compared to the previous estimate of 4.5% to 5%. The company reported a net profit of ₹7,038 crore for the fourth quarter of FY25, a decline of 12% from the previous year, while expenses rose by 6.7% to ₹32,452 crore. The IT sector is currently grappling with reduced client spending, particularly in key markets such as the US and Europe, leading to slower project inflows.
In light of these layoffs, Infosys is also providing various benefits to the affected trainees. Upon completing a Separation and General Release Agreement, they will receive one month’s pay, a relieving letter, and access to outplacement services. The company is also offering transport from its Mysore training facility to either Bengaluru or their hometowns, as well as accommodation in the Employee Care Centre at Infosys until their departure. Additionally, counseling support will be available to assist the laid-off employees during this transition.
The decision to terminate these trainees has raised questions about the company's internal assessment processes and its treatment of employees. Many of the affected trainees had been waiting to be onboarded for nearly two-and-a-half years due to delays caused by the COVID-19 pandemic and ongoing macroeconomic uncertainties. They were hired for roles as System Engineers and Digital Specialist Engineers, but unfortunately, they were released before being deployed to live projects.
In the wake of the layoffs, NITES has organized press conferences where affected employees have shared their personal experiences and grievances. The union has called for legal action against Infosys, contending that the layoffs violate labor laws and the rights of employees.
Moreover, Infosys has reiterated that performance evaluations are a standard procedure in their training program, which is recognized for its quality. The company maintains that the evaluation process is clearly outlined in their policy documents, which are communicated to all trainees upon their onboarding.
As the IT landscape continues to evolve, the need for adaptability and reskilling remains crucial. Infosys’ attempt to provide alternative career pathways and support for those laid off reflects an understanding of the challenges faced by employees in the current market. However, the company also faces scrutiny over its practices and the impact of its layoffs on the workforce.
The situation at Infosys serves as a reminder of the pressures within the IT industry, where companies are not only tightening hiring practices but also raising the bar for internal assessments. The broader implications of these layoffs extend beyond the individual trainees, highlighting the need for companies to balance performance standards with employee support during challenging times.
As Infosys navigates these turbulent waters, the focus will likely remain on how it manages its workforce and supports those who have been affected by recent layoffs. The company’s commitment to providing training and support may help ease the transition for some, but the overall sentiment among many former trainees remains one of disappointment and frustration.
