Tuesday, April 21, 2009

Infosys: Zero Tolerance??

To restart writing is great fun...Actually, a recent report published in The Times of India dated April 11, titled, Infosys Axes 2100 for "Poor Performance" did the trick of my comeback. In it, Mohandas Pai, the revered HR Head of Infosys has justified the sacking saying that it is due to under-performance and that the company has a policy of zero tolerance. Hahaha...I am laughing because promoters of Infosys have always projected themselves on high moral grounds. No, there is nothing wrong in their so-far projection. It has been their aspirational positioning. But...

To play with the careers of 2100 professionals? After such a public statement, would it not be difficult for these people to get a suitable alternative job? Mr Pai, first you sack such a large number of people and then justify your act by giving such a statement for these people...I thought you were one of the thought leaders of Indian IT Industry. At a time when Mr Narayan Murthy is positioned as The Chief Mentor of Infosys, you will definitely be viewed as The Chief (Tor)mentor by these 2100 people.

Talking of zero tolerance in the same report...lets consider the costing of these 2100 people...
2100 people with average salary @ Rs 240,000 per annum=Rs. 50,40,00,000
per annum.
Add to it the average cost of hiring and training these people. Then there is the cost of re-hiring as many people (...untill ofcourse Infosys decides this was a surplus number....:) Considering that all were permanent employees, as reported, such a huge amount is a waste.

Being the HR head of Infosys, Mr Pai, is this zero tolerance?

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