Infosys Continues Assessment-Based Terminations Amid Market Slowdown
Infosys, one of India’s leading IT services companies, has reportedly terminated 240 trainees after they failed to clear final assessment tests, marking the second such round of layoffs in recent months. This follows a similar move in February 2025, when more than 300 trainees were let go under comparable circumstances. The terminations come as Infosys navigates a period of low demand and economic uncertainty, with the company forecasting a modest revenue growth range of 0 to 3 percent for the current fiscal year.
The affected trainees were part of a batch that joined the company on October 21, 2024, and recently sat for their third and final attempt at the internal assessments on April 17. In an email sent on April 18, Infosys informed them that they had not met the qualifying criteria of the ‘Generic Foundation Training Program,’ despite multiple preparation opportunities, mock assessments, and extended support. Consequently, they would not be continuing in the apprenticeship program.
Infosys Offers Outplacement Support and Upskilling Options
While the terminations are a significant setback for the trainees—many of whom waited more than two and a half years post-graduation for onboarding—Infosys is attempting to soften the blow by providing alternative career pathways. The company is offering free upskilling programs in collaboration with NIIT and UpGrad. Trainees can choose between training for roles in Infosys BPM (Business Process Management) or further foundational courses in Information Technology to support future career prospects.
Additionally, the company is extending professional outplacement services to assist the trainees in seeking external job opportunities. Affected individuals will also receive one month’s pay, accommodation, and a travel allowance to return from the Mysuru training centre to either Bengaluru or their hometowns.
Infosys confirmed that the same upskilling support would be extended to those who were let go in February. The IT training will be managed by NIIT, while BPM training will be facilitated through UpGrad.
Recession-Era Hiring Struggles and Future Outlook
The layoffs highlight the broader challenges facing the IT sector, where a slowdown in client spending—particularly from markets like the U.S. and Europe—is forcing companies to rethink their hiring and training strategies. The trainees who were recently terminated were originally recruited during the peak of the COVID-19 pandemic, when hiring was largely virtual and academic schedules were disrupted by extended lockdowns and remote learning.
Despite the current wave of layoffs, Infosys has announced plans to onboard 20,000 freshers during the ongoing fiscal year. Last year, it brought in over 15,000 new employees. However, insiders suggest that internal assessments will continue to be a gatekeeping measure, with additional results for the next batch of trainees expected in the coming week.
The company’s approach—blending strict performance metrics with upskilling alternatives—signals a shift in how IT firms are managing entry-level talent in a challenging economic climate.
