Infosys CEO Guarantees Onboarding for All Despite Delays

Infosys CEO Salil Parekh has assured that the company will honour offers made to freshers, despite some changes in joining dates. His statement comes amid reports of delayed onboarding for 2,000 engineering graduates from the 2022 batch. "Every offer that we have given, that offer will be for someone who will join the company. We changed some dates but beyond that everyone will join Infosys and there is no change in that approach," Parekh said.

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The Bengaluru-based IT giant had earlier announced plans to hire between 15,000 and 20,000 freshers this year, contingent on growth. The company's headcount stood at 3.15 lakh as of June 2024, a slight decrease from 3.36 lakh a year ago. The headcount also fell marginally from 3.17 lakh in the previous quarter.

Delays and Complaints

Recently, the Nascent Information Technology Employees Senate (NITES) filed a complaint with the Ministry of Labour and Employment against Infosys. The union accused the company of delaying the onboarding process for 2,000 engineering graduates selected during the 2022-23 recruitment drive. These graduates received offer letters as early as April 2022 but faced continuous delays, unpaid pre-training programmes, and unexpected additional assessments.

NITES stated, "Despite fulfilling all requirements on their part, these professionals have been kept in limbo for more than two years." The delay has caused significant frustration among the affected graduates who were selected for system engineer and digital specialist engineer roles.

Financial Performance and Employee Utilisation

Infosys exceeded expectations with its Q1 financial results, reporting a 7 per cent rise in consolidated net profit to Rs 6,368 crore. The company also raised its revenue growth guidance for the current fiscal year to 3-4 per cent from an earlier projection of 1-3 per cent.

The company's employee utilisation rate increased to 83.9 per cent from 78.9 per cent year-on-year. Chief Financial Officer Jayesh Sanghrajka noted, "Our utilisation is already at 85 per cent. So we have little headroom now left. So you know, as we start seeing growth... we are looking at hiring 15,000 to 20,000 freshers this year depending on... how we see the growth."

The assurance from Parekh aims to address concerns about job security among new recruits. Despite the delays, Infosys remains committed to integrating these freshers into its workforce. This commitment is crucial for maintaining trust and morale among new employees.

Infosys' proactive approach in addressing these issues reflects its dedication to its workforce and future growth plans. By honouring job offers and adjusting joining dates, the company aims to balance its operational needs with employee expectations.

The company's recent performance and strategic hiring plans indicate a positive outlook for both current employees and new recruits. As Infosys navigates these challenges, its focus remains on sustainable growth and employee satisfaction.