The IIDEA-IT and ITES Democratic Employees Association has strongly condemned the Karnataka Labour Department’s decision to absolve Infosys of responsibility for the recent layoffs of hundreds of freshers. The association criticised the department’s conclusion that “no employer-employee relationship existed,” calling it a dangerous misinterpretation of labour ethics that overlooks the realities faced by those affected.
The Karnataka Labour Department’s decision comes after nearly 400 trainees were terminated from Infosys’ Mysuru training facility on February 7. Following the layoffs, Nascent Information Technology Employees Senate (NITES), an IT employee welfare organisation, filed a complaint with the Union Ministry of Labour and Employment, which then directed the Karnataka Labour Department to investigate.
A report by The Times of India states that the Labour Department found no legal violations by Infosys, concluding that the trainees did not qualify as employees. An official was quoted saying, “We have not found any violation of labour laws in our inspection at Infosys. There was no employee-employer relationship between them in the first place. They were not even given appointment letters to be considered employees. They were trainees for three months who were paid stipends and were part of the apprenticeship programme.”
According to IIDEA, the trainees were engaged in extended training programmes for six months, during which they contributed to company projects and followed Infosys’ operational protocols. The association argues that these freshers were not passive learners but active participants in a corporate environment, adhering to company timelines and expectations. The prolonged 2.5-year waiting period before onboarding, dictated by Infosys’ internal decisions, created an implicit contractual obligation. By keeping them in this uncertain state, Infosys benefited from their preparedness without offering formal employment safeguards, which IIDEA describes as a clear exploitation of power imbalance.
The sudden termination of these trainees was further compounded by what the association calls a “heartless directive” requiring them to vacate their hostels immediately. Many freshers were left stranded without financial or logistical support, facing sudden unemployment, travel expenses, and housing insecurity. IIDEA condemned Infosys for prioritising corporate interests over employee welfare and for using legal technicalities to avoid accountability.
The association has called for urgent changes to labour laws to reflect modern employment dynamics, particularly for trainees undergoing long training periods that effectively function as employment. IIDEA has demanded that regulatory bodies reassess the case with an ethical approach, recognising the economic vulnerabilities of freshers. It insists that Infosys should be held accountable and made to compensate the affected trainees while fulfilling its initial commitments.