The central government’s Labour Commissioner has directed the Karnataka state government’s labour ministry to take immediate action regarding a complaint about the layoffs of around 700 employees by Infosys. The complaint was filed by the IT employees’ welfare association, Nascent Information Technology Employees Senate (NITES).
According to an official letter from the Office of the Chief Labour Commissioner with the Ministry of Labour and Employment, the Karnataka Labour Ministry has been instructed to address the dispute urgently. The ministry must also keep the complainant, NITES, informed about the developments and update the central labour ministry on the progress.
IT Employee Association Fights for Justice
NITES is a registered association advocating for the rights and welfare of IT professionals. Earlier this week, the organization formally approached the labour ministry, urging action against Infosys for what it described as “illegal and unethical” terminations that violate labour laws.
On Friday, Infosys issued a directive asking trainees to resign within three months. These trainees had already experienced a delayed onboarding of over two years. Those who failed to leave by 6 PM the same day were reportedly not allowed to stay on the Mysuru campus.
Infosys Defends Layoffs as Part of Assessment Process
Infosys, headquartered in Bengaluru and India’s second-largest IT firm, has responded by stating that fewer than 350 employees had resigned through “mutual separation.” The company claimed that these employees had failed to clear three attempts in an internal assessment program after undergoing extensive foundational training.
However, affected employees, many of whom were hired as system engineers earning less than ₹17,000 per month, have shared distressing stories. Many were left stranded with their belongings and had nowhere to stay for the night. Several employees reportedly suffered panic attacks, with at least seven requiring medical attention at a nearby hospital.
Employees Fear Social Stigma and Financial Hardship
Many of the dismissed employees have chosen not to disclose their situation to their families, fearing judgment and criticism, particularly from extended relatives and friends. The sudden loss of employment has left them in a state of shock and uncertainty.
NITES Calls for Government Action Against Infosys
In its letter to the central labour ministry, NITES has demanded strict penalties against Infosys for violating provisions of the Industrial Disputes Act, 1947. The association is calling for:
- An immediate investigation into the terminations.
- A restraining order to prevent further layoffs until due legal procedures are followed.
- Reinstatement of all terminated employees with appropriate compensation.
Concerns Over Impact on IT Industry
NITES has warned that Infosys’ actions could set a dangerous precedent in the IT industry. If not addressed, such practices may encourage other companies to follow suit, leading to widespread exploitation of employees.
The ongoing dispute highlights the growing concerns over job security in the Indian IT sector, with employees and labor groups demanding stronger protections against unfair employment practices.