Infosys CEO Salil Parekh on Proposed Reservations for Locals in Karnataka

Infosys CEO Salil Parekh has stated that the company will comply with any regulations and guidelines that Karnataka implements regarding reservations for locals in private firms.

Infosys employs over 3.15 lakh people globally and is prepared to align with new laws and regulations as they develop.

Statement from Infosys CEO Salil Parekh:

“We are planning to work with all the regulations of the state and central governments. We will work on, we support whatever regulations and guidelines will come.

We’ll wait and see what they look like as time develops, but our general approach is to ensure we are aligned to the new laws and regulations that come out,” Parekh said.

Karnataka’s Reservation Bill

The statement follows the state Cabinet’s recent clearance of the Karnataka State Employment of Local Candidates in the Industries, Factories and Other Establishments Bill, 2024.

The bill proposes that “any industry, factory or other establishments shall appoint 50 percent of local candidates in management categories and 70 percent in non-management categories.” However, after receiving significant criticism from business leaders, the bill has been put on hold.

Industry Reactions to the Reservation Bill by Infosys CEO Salil Parekh:

PhonePe CEO Samir Nigam criticized the proposal as a “shame,” expressing his concerns on social media. He stated, “I am 46 years old. I have never lived in a state for 15 years. My father worked in the Indian Navy.

I got posted all over the country. His kids don’t deserve jobs in Karnataka? I build companies. I have created 25,000 jobs across India! My kids don’t deserve jobs in their home city? Shame.”

TV Mohandas Pai, Infosys CFO:

Infosys Chief Finance Officer TV Mohandas Pai called the bill “regressive” and urged it to be discarded. He remarked on X (formerly Twitter), “It is discriminatory, regressive, and against the constitution. This is a fascist bill, as in Animal Farm; unbelievable that @INCIndia can come up with a bill like this—a government officer will sit on recruitment committees of the private sector? People have to take a language test?”

Biocon Managing Director Kiran Mazumdar Shaw also expressed her concerns: “As a tech hub, we need skilled talent, and while the aim is to provide jobs for locals, we must not affect our leading position in technology by this move.”