IT firms like Wipro, Infosys, and Tech Mahindra are said to have withdrawn offer letters from many candidates after delaying their onboarding process for months. According to sources, hundreds of freshers who had accepted offers from tech behemoths had their offer letters annulled after a 3–4-month delay in the onboarding process.
Major IT sectors in the country, such as Wipro, Infosys, and TCS, are losing IT graduates due to the delayed onboarding process, as the latter are looking for other positions as onboarding delays exceed six months. Aside from that, both Graduating students and their engineering colleges are concerned that the delays might have an impact on future campus placements.
The global economic downturn appears to be harming Indian IT firms and the employment of new graduates. According to one source, Indian IT sectors Wipro, Infosys, and Tech Mahindra have also canceled some of the student’s offer letters. These offers have been withdrawn after approximately three to four months of delay.
The report includes communications from these companies to freshmen whose offer letters were refused. According to reports, these offer letters were sent to the students following numerous rounds of interviews and a tough selection procedure.
This comes as IT companies face macro headwinds such as US banks cutting tech spending and the world’s largest economy falling into an oncoming recession. According to news sources last month, HCL Tech let off roughly 350 staff working on a Microsoft project, implying that the project has been awarded to Accenture.
In other headlines, EPAM Systems, a NYSE-listed IT services business, has asked roughly 100 Indian employees to leave. According to insiders, the corporation has also cancelled offer letters for others who were set to join the firm in the coming months.
At a time when there is discussion of a slowdown in the IT business globally, the news of the IT organisations postponing onboarding or withdrawing their offer letters is shocking. The rumour around town is that the amount of easy money accessible to startups in the IT industry is dwindling as a result of tightening monetary conditions, which include rising interest rates globally. And all IT businesses, from recently founded start-ups to industry behemoths with decades of experience, are being impacted by this.
Apart from Wipro, TCS, Infosys, and Tech Mahindra there are also other Businesses That Have Stopped Hiring and Fired Employees
Meta: Mark Zuckerberg, the social network’s founder and CEO, has made it plain that all hiring has been suspended and that additional layoffs are imminent. The Verge claims that Zuckerberg said these things during an internal call to staff members.
In the most recent Meta earnings call, Zuckerberg stated, “Our objective is to gradually curtail headcount growth over the coming year. There will be a reduction in the number of teams so that we can focus on other things. Zuckerberg imposed a hiring freeze for some Meta departments in May.
Microsoft: Nadella’s As part of a “realignment,” Microsoft became the first major IT company to fire workers. Nearly 1% of Microsoft’s 1,80,000 employees across its offices and product divisions are reportedly affected by the layoffs. Additionally, Microsoft’s hiring has slowed in the Office, Teams, and Windows divisions.
Apple Inc.: Due to the challenging macroeconomic conditions around the world, Apple plans to reduce recruiting in 2023.
Earlier News of Moonlighting had also caused the termination of several employees from major IT firms. There have been discussions over the “legality” and “ethics” of moonlighting in India after Wipro terminated the employment of 300 employees for working for the business’s rivals while still on the company payroll.
Moonlighting, according to Wipro’s executive chairman Rishad Premji, is a “total violation of ethics in its deepest form,” which is why the business took such harsh measures after the news broke on September 22.