In a significant development affecting job seekers in India, major IT firms such as Infosys, Wipro, and TCS are delaying the onboarding process for thousands of fresh graduates. According to a report by the Times of India citing data from the Nascent Information Technology Employees Senate (NITES), over 10,000 freshers are in limbo, awaiting their joining dates.
Harpreet Singh Saluja, president of NITES, has reported receiving numerous complaints from candidates who were offered positions at top IT companies, including TCS, Infosys, Wipro, Zensar, and LTIMindtree.
This development comes even as a notable reduction has been recorded in the combined workforce of TCS, Infosys, and Wipro, which saw a decrease of approximately 64,000 employees in the financial year 2023-24.
In recent communications, as per the TOI report, Infosys informed candidates that their dates of joining (DOJ) would be determined based on business needs, with notifications sent at least three to four weeks in advance.
“We will allocate the DOJ (date of joining) brd on business requirements and the DOJ will be sent at least 3-4 weeks prior to joining,” according to the mail sent to the candidates by Infosys, said the TOI report.
This year, Infosys hired only 11,900 new graduates, a sharp decline from the 50,000 recruits in the previous fiscal year.
Wipro is experiencing similar issues, with Chief Human Resources Officer Saurabh Govil acknowledging that many offers made two years ago remain unfulfilled. He, according to the report, stated, “The year before last, we went to campus and made many offers. We are yet to honour those. We will finish those offers and then hire new freshers. We will induct freshers this year, but we cannot give a number as the macro environment is uncertain.”
Krishna Vij, business head of IT staffing at TeamLease, highlighted that about 3-5% of freshers recruited by top IT services companies in 2022 have yet to start their roles. This delay is attributed to a lack of project visibility and a focus on ensuring that candidates possess the necessary skills and job readiness, according to the report.
Meanwhile, according to a livemint report, TCS and Infosys have seen a decline in employees aged 30 years or less in the past two years.
The share of young workers in TCS’s workforce has fallen from 59 per cent to FY22 to 50.3 per cent in FY24. For Infosys, that’s a drop from 60 per cent to 55 per cent over the same period, according to the livemint report.
In the fourth quarter ended March 2024, TCS recorded a 9% increase in net profit to Rs 12,434 crore, compared with Rs 11,392 crore in the corresponding period last year.
Infosys posted a 30 per cent year-on-year jump in its net profit to Rs 7,969 crore for the fourth quarter ended March 2024 quarter. However, its revenues during January-March 2024 rose just 1.3 per cent YoY to Rs 37,923 crore, compared with Rs 37,441 crore a year ago.
Wipro reported an 8 per cent year-on-year (YoY) decline in its net profit to Rs 2,835 crore for the March 2024 quarter (Q4 FY24). Its revenue during January-March 2024 declined to Rs 22,208.3 crore, compared with Rs 23,190.3 crore in the year-ago period.
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