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IT companies to axe 2,500 new hires who failed screening tests

  • Indian software service providers may lay off around 2,500 recent recruits who failed screening tests.
  • The screening tests, which assess the new hires' ability to meet client project requirements, are becoming more stringent.
  • The downsizing is larger this year due to lower number of campus hires during the pandemic and could result from companies hiring more people than needed.
  • The IT industry may slow down its hiring pace for the rest of FY23, as most hiring targets have been met, and companies are grappling with high employee costs despite a decline in overall headcount.

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