Infosys Offers Incentives for Hubballi Centre Employees

Infosys has recently faced criticism for allegedly failing to create local job opportunities around its development center in Hubballi, prompting the company to introduce incentives to encourage employee transfers to the area.

Criticism and Political Response:

Months ago, BJP MLA Arvind Bellad criticized Infosys for not generating local employment despite receiving subsidized land from the government. He urged the state to reconsider granting the 58-acre land in Hubballi due to this issue.

In February, Bellad highlighted that Infosys obtained the land at a significantly reduced rate of ₹35 lakh per acre, well below its market value of ₹1.5 crore per acre. He emphasized the disappointment of local farmers who had hoped for job opportunities following land transactions.

Infosys’ Response:

To address these concerns, Infosys has announced relocation incentives for employees willing to move to its Hubballi center:

• Band 3 and Below Employees: ₹25,000 upon relocation, with an additional ₹25,000 every six months for two years. An additional ₹1.25 lakh will be given at the end of 24 months.
• Band 4 Employees: ₹2.5 lakh at the end of 24 months, in addition to the initial relocation incentive.
• Band 5 Employees: ₹5 lakh
• Band 6 Employees: ₹6 lakh
• Band 7 Employees: ₹8 lakh

These incentives aim to facilitate relocating and retaining employees at the Hubballi Center.

Policy Violation Concerns:

During the legislative assembly session, Karnataka Minister for Commerce and Industries MB Patil cited concerns over Infosys and other firms allegedly not meeting job creation requirements outlined in the Industrial Policy 2020-25.

The policy mandates that companies benefiting from government incentives must allocate 100% of Group D jobs and 70% of overall jobs to Kannadigas.

Patil warned of a potential withdrawal of state benefits for companies failing to meet these employment criteria.