Amid a looming scare of a potential global recession, major Indian information technology (IT) companies which include Infosys, Tech Mahindra, and Infosys have apparently revoked offer letters issued to students.
According to a report published in the Business Line, hundreds of students were given offer letters by these companies recently. Initially, their joining was postponed by at least three months, and finally, they received emails stating that these letters have been revoked.
The Business Line report also quoted e-mails sent by these companies to candidates.
"It has been identified that you are not meeting our academic eligibility criteria. Hence your offer stands null and void," wrote one of the companies in the email.
Recession fears and inflation have negatively impacted companies all across the globe, and several top firms have been adopting various tactics to adapt themselves to the adverse scenario.
A recent report by Naukri.com suggested that the IT sector in India recorded a 10 percent decrease in hiring activity in August.
As a precautionary measure, TCS had postponed variable pay to its employees while Infosys reportedly slashed it to 70 percent.
Wipro, however, deferred the variable pay completely.
As conditions worsen, experts believe that the IT sector in the country could further slow down in the coming months.
Recently, a report released by Ned Davis Research suggested that there is a 98 percent chance of a global recession.
It should be also noted that India's inflation increased to 7 percent in August, continuing an eight-month streak exceeding the central bank's tolerance targets.
