According to a mint report, IT services companies are to layoff 2500 freshers for failing screening tests. Recently, the top two IT-Major have sacked 1052 employees who failed to qualify for the internal tests.
However, this is an indicator that there are concerning headwinds in the coming quarters. According to reports, the layoffs will be based on screening tests. These screening tests generally take place within a year of an employee joining to assess whether they will match the client’s needs.
The reports also found that IT services will layoff employees due to the following reasons:-
- The layoffs might also be due to overhiring during the pandemic.
- Additionally, the reports also suggested that the screening tests may also get more stringent as the firms are pressured to honour campus offers but are already overstaffed.
- The report has also found that around 1 percent of the total hires fail to clear the screening tests every year.
- In 2022-23 (FY23), around 2 percent of 200,000 recruits may fail the tests.
An Indian multinational information technology company, Infosys has fired 600 freshers after they fail an internal assessment test. The company hired around 6,000 freshers in Q3FY23. The company’s net addition stood at 54,778 employees in Q3FY23.
Recently, Wipro also sacked 452 fresher employees due to poor performance. However, the company also waived the training cost of Rs.75,000/- for the freshers. The union of IT employees Nascent Information Technology Employees Senate (NITES) said that it ‘strongly condemns the unethical layoffs done by Wipro.’
NITES President Harpreet Singh Saluja said, “For a year these employees were struggling to join the company despite clearing interviews, training, assessments, and internships.”
“The company has not paid a single rupee to these employees and fired them illegally. We will be submitting a complaint to the Labour Authorities to conduct an inquiry,” Harpreet Singh Saluja added.
