Infosys, the country’s second-largest software exporter, recruited nearly 11,900 college graduates in the financial year ending 2024, according to CEO and MD Salil Parekh. This represents a significant year-over-year decline in campus hiring, as the company had onboarded over 50,000 freshers in FY23. The company’s total headcount also saw a rare decrease, dropping by 25,994 employees, marking its first annual decline in at least 23 years, with a total of 317,000 employees for FY24.
In the company’s annual report released on June 3, Parekh highlighted that Infosys reduced its attrition rate to 12.6% and focused on training over 250,000 employees in AI skills. Approximately 39% of its workforce comprises women employees, underscoring its commitment to gender diversity.
Infosys shifted its hiring strategy by significantly reducing campus hiring in FY24, opting instead for a flexi hiring model that includes more off-campus recruitment. This change was discussed by CFO Jayesh Sanghrajka during the fourth-quarter earnings conference, where Infosys skipped campus hiring for several quarters to monitor utilization rates.
The trend of declining headcounts and layoffs is not unique to Infosys but extends across the industry, affecting rivals like Tata Consultancy Services (TCS), Wipro, and Tech Mahindra. The top 5 Indian IT companies collectively lost approximately 69,167 employees in FY24 amid uncertain demand conditions, delayed deal ramp-ups, and cancellations.
Additionally, there were reports of industry-wide silent layoffs in the IT sector in India during 2023 and 2024, with estimates suggesting around 20,000 job losses. Despite reports of layoffs, Infosys denied conducting layoffs and clarified that any employee exits were voluntary resignations.
The evolving hiring and operational strategies of Infosys reflect broader adjustments within the IT sector as companies navigate changing market dynamics and optimize workforce management strategies.
