Infosys has been fined approximately Rs 2 crore by French labour authorities following an investigation into its employee time-tracking system. The fine, equating to EUR 175,000, was levied by DRIEETS Ile-de-France, which is the regional labour authority in France. The company made this disclosure through a stock exchange filing, indicating that it had received official communication regarding the penalty.

The regulatory findings revealed that Infosys’ method for recording working hours did not meet the legal standards mandated in France. Specific issues identified included the reliability of the system, its capability to maintain records that are subject to audit, and its monitoring functionalities for different employee categories.

Compliance with French Labour Laws

French legislation stipulates that employers are required to accurately record working hours, which includes tracking the statutory 35-hour workweek, overtime, and mandatory rest periods. These records are necessary to be both reliable and auditable when required. The company’s filing, however, did not reveal which specific categories of employees were impacted by the regulatory findings. Furthermore, it remains unclear whether Infosys has been directed to make adjustments to its time-tracking system in light of the penalty.

Despite the financial sanction, Infosys has downplayed the potential impact on its overall financial health and operations. The company has stated that the fine is not expected to have a significant effect on its business activities. Infosys is currently reviewing the regulatory communication and determining subsequent actions to address the situation.

The imposition of this fine comes during a period when Infosys is tightening its office attendance policies in India. As part of a broader strategy, the company has been requiring more employees to work from office locations.

Revised Office Attendance Policies

Recently, Infosys mandated that employees at job levels 7 and above should report to the office four days a week. Reports indicate that in March, this requirement was extended to include employees in the 6A band within certain business units, thereby increasing the number of senior staff subject to the revised attendance policy. An internal email obtained by The Economic Times highlighted, “Please note, as per our unit guidelines, JL6+ have to be in office four days a week.” The message also reminded employees of the necessity to fulfil at least 10 days of office attendance per month.

Despite these stricter attendance requirements, Infosys continues to promote its operational model as a hybrid arrangement. The company asserts that this model aims to foster teamwork, innovation, and efficient work delivery. The recent penalty has sparked renewed discussions regarding the ongoing debates around working hours at the organisation.

Founder Narayana Murthy has previously articulated his views on the necessity for Indian employees to be prepared to work longer hours, suggesting that such efforts are vital for the country’s global competitiveness. He had notably commented on China’s 9-9-6 work culture, which entails working from 9 am to 9 pm six days a week, amounting to 72 hours of work. However, the focus of the French penalty is relevant to the accuracy of hours worked, rather than the duration that employees should be working.

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