Infosys has been fined around Rs 2 crore in France after authorities found gaps in the company’s system for tracking employee working hours. The penalty comes as the IT major also tightens office attendance requirements for employees in India.
Infosys has been fined around Rs 2 crore by French labour authorities after its system for recording employee working hours was found to be falling short of local legal requirements. The penalty of EUR 175,000 was imposed by DRIEETS Ile-de-France, the regional labour authority in France. Infosys disclosed the development in a stock exchange filing, saying it had received communication from the authority regarding the collection of the penalty.
According to the regulator’s findings, Infosys’ system for recording working time did not fully comply with French rules. The concerns were related to the system’s reliability, its ability to maintain auditable records and its monitoring capabilities for certain categories of employees.
French labour rules require employers to keep track of working hours, including the statutory 35-hour workweek, overtime and mandatory rest periods. Such records also need to be reliable and capable of being audited when required. The filing does not specify which categories of Infosys employees were affected by the findings. It also does not say whether the company has been asked to make specific changes to its time-recording system.
Infosys, however, has played down the financial impact of the penalty. The company said the fine would not have a material impact on its financials, operations or other business activities. It is reviewing the communication and evaluating the next steps.
Fine comes as Infosys tightens office attendance rules
The development comes as Infosys has been asking more employees to spend additional time working from its offices in India.
The company had earlier required employees at job level 7 and above to work from the office four days a week. In March, this requirement was reportedly extended to employees in the 6A band across some business units, bringing more senior staff under the stricter attendance policy.
An internal email, seen by The Economic Times, told employees, “Please note, as per our unit guidelines, JL6+ have to be in office four days a week.” The communication also pointed out that some employees had not completed the required 10 days of office attendance each month.
Despite the tighter attendance expectations, Infosys continues to describe its workplace setup as a hybrid model. The company has said the arrangement is aimed at encouraging teamwork, innovation and effective delivery of work.
The latest fine also adds another layer to the long-running debate around working hours at Infosys. Company founder Narayana Murthy has previously argued that Indian employees should be prepared to work longer hours to help the country compete globally.
