Infosys, one of India’s leading IT services companies, has terminated the contracts of 240 interns after they failed to clear the company’s rigorous internal assessment tests. This move, communicated via internal emails on April 18, follows a similar round of layoffs earlier this year and has sparked widespread discussion about the company’s training standards, support measures, and the broader pressures facing the Indian IT sector.
Multiple Attempts, Extra Support, But Assessment Criteria Remain Firm:
The interns who were impacted by this choice were among a group of interns hired in October 2024, many of whom had previously had to wait a long time to join—up to two and a half years—because of hiring freezes and project delays brought on by the epidemic. Following their onboarding, these interns—who were assigned the designations of System Engineer and Digital Specialist Engineer—enrolled in the organization’s “Generic Foundation Training Program,” which is required for full employment.
Infosys’s internal communication revealed that the company provided multiple layers of support to help trainees succeed. Interns were given additional preparation time, several mock assessments, and doubt-clearing sessions. Despite these efforts, the company maintained a strict qualifying standard. Each intern was allowed up to three attempts to clear the assessments. Those who failed to meet the criteria after these opportunities received termination emails, with April 18 marking their last official day at Infosys.
Layoffs Amid Industry Slowdown and Growing Backlash:
This is not the first time Infosys has taken such action. In February, the company let go of over 300 trainees under similar circumstances. The layoffs come at a time when Infosys is facing subdued demand and slow revenue growth, with the company recently reporting an 11.7% year-on-year decline in net profit for the March 2025 quarter. The IT sector as a whole continues to face uncertainty in its core markets, prompting companies to tighten performance standards and streamline their workforce.
The terminations have not gone unnoticed. Employee unions like the Nascent Information Technology Employees Senate (NITES) have criticized the move, calling it “illegal, unethical, and in violation of labour laws.” Some dismissed interns have shared their experiences publicly, expressing frustration after waiting years to join the company only to be let go within months. Many cited the challenge of finding new jobs after such a setback, especially with annual salaries in the range of Rs 3 lakh to Rs 3.5 lakh and limited industry experience.
Infosys Offers Support and Upskilling for Affected Interns:
In an effort to soften the impact, Infosys has rolled out several support initiatives for those affected. The company is offering free upskilling and professional outplacement services. Trainees can enroll in Infosys-sponsored external training programs through NIIT for IT-specific skills or UpGrad for roles in Business Process Management (BPM). Those who complete the BPM training are eligible to reapply for roles at Infosys BPM Limited. Additionally, the company has provided one month’s pay, travel allowance, and accommodation support for those required to vacate the Mysuru training campus.
Despite these measures, the layoffs have sparked debate about the effectiveness of Infosys’s training model and the fairness of terminating interns after multiple failed attempts. Some industry observers argue that the company’s approach ensures only the most capable candidates move forward, while others believe more should be done to support and retain new talent, especially given the challenging job market.
Conclusion:
The most recent round of Infosys layoffs shows how performance and flexibility are becoming more and more important in India’s IT industry. The demand for entry-level labor keeps rising as businesses struggle with automation, changing customer demands, and global economic challenges. Infosys’ choice highlights the company’s dedication to maintaining high standards, but it also poses significant queries regarding how to strike a balance between hiring fresh people and conducting thorough evaluations.
The company’s upskilling and outplacement assistance may provide a route back into the sector for the 240 interns who were let go. Finding, educating, and retaining the next generation of IT workers in a fast evolving environment continues to be a challenge for Infosys and its competitors. Whether these steps are sufficient to meet corporate needs and the ambitions of India’s large pool of young tech talent will become clear in the upcoming months.
