Wipro said the emloyees performed poorly in assessments repeatedly even after training.
IT services giant Wipro has said it has sacked over 400 entry-level employees after they repeatedly performed poorly in internal assessments, even after training, joining the likes of Google and Amazon, as well as Indian firms like Swiggy, that have announced downsizing in recent weeks.
"At Wipro, we take pride in holding ourselves to the highest standards. In line with the standards, we aim to set for ourselves, we expect every entry-level employee to have a certain level of proficiency in their designated area of work," the company said in a statement to NDTV.
"The evaluation process includes assessments to align employees with the business objectives of the organization and requirements of our clients. This systematic and comprehensive performance evaluation process triggers a series of actions such as mentoring and retraining and in some cases separation of certain employees from the company," it said.
"We had to let go of 452 freshers after they performed poorly in assessments repeatedly even after training," it added.
According to The Times of India newspaper, the company informed the affected staffers that they were liable to pay Rs 75,000 each for training costs, but the company had "waived" the expense.
"We wish to inform you that training cost of Rs 75,000 which you are liable to pay, will be waived off," the termination letter by the Bengaluru-based company read, Business Today magazine reported.
Last week, the company reported a better-than-expected 2.8 per cent rise in consolidated net profit for the December 2022 quarter and exuded optimism about "strong" bookings for the fourth quarter despite global headwinds.
However, it also warned that revenue in its key IT services business could decline in the current quarter as clients delayed making spending decisions, a worry that the company's peers have flagged as well.
The Indian IT services industry, which enjoyed a pandemic-led boom, is now contending with slower spending or at least delays in decision-making due to growing fears of a global recession.