Showing posts with label Layoffs. Show all posts
Showing posts with label Layoffs. Show all posts

Wednesday, April 2, 2025

The Reality of Tech Interviews in 2025

To See All Articles About Layoffs: Layoffs Reports
TL;DR; Read in bolds and bullets.
    
Interview processes are changing in a tech market that’s both cooling AND heating up at the same time. A deepdive with former Meta Staff Engineer/Engineering Manager Evan King and Stefan Mai

It’s been widely reported that the tech hiring market is much cooler than in 2020-2022; the number of software engineering job openings is down internationally in all major regions and the number of full-remote roles is in steady decline. Meanwhile, other metrics indicate that tech hiring is starting to recover – at least for senior engineers – as covered last month in the article, State of the startup and scaleup hiring markets, as seen by recruiters. It all adds up to a state of flux for candidates and employers to navigate through.

This article is an attempt to get clarity about how tech interviews are changing, by focusing on what the engineers who take interviews are seeing. For this, I turned to Evan King and Stefan Mai, cofounders of interview preparation startup, Hello Interview. Before starting it, Evan was a staff engineer at Meta for 4 years, and Stefan an engineering manager at Amazon for 6 years, and also a senior engineering manager at Meta. They’ve conducted hundreds of interviews, while Stefan has also been a hiring manager. Since launching their new business, they’ve helped thousands of engineers prepare for interviews, and have collected information on the pulse of the job market.

I reached out to them after reading their practical, fresh take on system design interviews, for candid takes on devs interviewing at startups and Big Tech in the current climate, especially compared to a few years ago. Today, we cover:

  1. New reality of tech hiring. A rebounding market still well below its 2021-2022 peak.

  2. Analyzing the tech hiring market. Artificial Intelligence (AI) and related sectors are hot, while frontend/backend/mobile are not. It’s tougher for new grads than experienced engineers.

  3. Interview process changes. The formats of DSA and system design interviews remain the same, but are more demanding. Downleveling is more common, and team matching has quietly become another hurdle to clear.

  4. Interview formats differ between startups and Big Tech. Startups embrace more practical interviews and AI tools, while Big Tech seems less flexible about changing approach.

  5. Preparation strategies by experience. Advice for entry-level, mid-level, senior, staff+ tech professionals, and for EMs.

  6. Silver linings. Big Tech hiring is up, there’s a boom in AI positions, and the playbook of interviews is public.

1. New reality of tech hiring

Three years ago, if you were a competent software engineer with 3+ years of experience, you likely had recruiters flooding your inbox with opportunities. Companies were fighting over engineering talent, throwing extraordinary compensation packages at candidates, and in some cases even looking past poor interview performance in order to secure hires faster. The 2020-2021 tech hiring frenzy was exceptional; a period many now look back on with a mixture of nostalgia and disbelief. Fast forward to 2025, and the landscape has transformed dramatically. As co-founders of HelloInterview.com, we've had front row seats to these changes, observing tens of thousands of engineering interview journeys across companies of all sizes. In this deepdive, we aim to give you the unvarnished reality of tech interviewing in 2025, via real experiences of candidates navigating it today. We’ve observed Big Tech’s hiring volumes are up roughly 40% year on year. This data comes from candidates currently working at late-stage companies, of whom the overwhelming majority use our platform to prepare for interviews they already have scheduled. This provides a reliable proxy for overall tech hiring trends, as candidates on our platform have immediate, concrete interview dates. An uptick in candidates getting more interviews suggests that the worst of the 2022-2023 tech winter has passed, and that there are more attractive openings worth preparing for. Still, we're operating in a fundamentally different market with new rules, expectations, and challenges. The 40%-rebound figure is only part of the story. Yes, tech hiring is slowly making a comeback in aggregate terms, but it's a selective, strategic recovery that leaves some qualified engineers struggling to navigate processes which are now more demanding and less forgiving. Companies once desperate to fill seats are now being methodical and cautious, prioritizing precision in hiring decisions over speed and volume. What we're witnessing isn't simply a market correction; it’s a subtle yet significant shift in evaluation standards. While the core interview structure at Big Tech remains largely unchanged, the bar has shifted approximately one standard deviation higher across the board, and performance that would have secured an offer in 2021 might not even clear the screening stage today.

2. Analyzing the tech hiring market

Here’s our take on the current job market. Selective recovery By the raw numbers, tech hiring appears on a solid upward trajectory. TrueUp.io's job trend tracking shows tech job postings have risen from a 2023 low of 163,000, to approximately 230,000 today; roughly a 41% increase.
The 42% increase in openings is consistent with what we've observed internally in HelloInterview usage metrics and mock interview volume, when we adjust data for candidates with interviews scheduled. We are still well below the feverish heights of 2020-2022, though. Back then, open roles peaked at close to 500,000. The current recovery, while significant, has only restored us to around 46% of that peak. Unlike previous tech hiring cycles when a rising tide lifted all boats, today's market is characterized by extreme selectivity. Companies have become far more picky about where they invest headcount, with major differences in opportunity based on specialization, experience level, and the prestige of ex-employers.

Domain specialization

Engineers in certain areas of specialization are seeing a lot of relevant openings, such as in: AI infrastructure Machine learning operations Generative AI application development These areas of hiring are reminiscent of the 2021 peak; often with multiple offers, aggressive compensation, and expedited interview processes. For example, a Bay Area staff engineer specializing in AI infrastructure at Google recently received a competing offer from Meta's AI infrastructure team which was above $1 million in total compensation. Previously at Google, numbers like this were typically reserved for senior staff positions. But getting a large pay bump when changing companies, while staying at the same level, is not an isolated incident; we're seeing similar-sized compensation packages for specialists in high-performance computing, ML systems design, and those specializing in responsible AI development. Engineers in “core” domains see fewer opportunities. “Core domains” refers to frontend, backend services, mobile development, and similar areas. Later-stage startups that previously maintained multiple teams in these areas have consolidated with more empowered full-stack engineers. Focusing on full-stack leads to lower overall headcount, fewer openings, and more selective hiring processes. We see candidates with strong backgrounds in these areas often taking a long time to land a role, and when they do get an offer, the comp growth is rarely above what they currently earn. Note from Gergely: we previously saw how native mobile engineers face a tougher job market, and that becoming more full-stack is a sensible strategy for being more employable. Senior engineers can still attract multiple offers, especially those with directly relevant experience for hiring companies. This could be deep domain expertise (e.g. working in the infrastructure domain when interviewing for infra teams, working in the finance domain when interviewing with FinTechs, etc), or it could be a deep technology expertise which matters to the employer. Meanwhile, engineers with less transferable skills face an uphill battle. Narrow skillsets often develop from working at the likes of Google or Meta, where people specialize narrowly in proprietary systems, tools, and technologies that don’t exist in the broader market.

Experience level divide

The current market is also starkly stratified by career stage, creating dramatically different realities for engineers depending on experience: Junior engineers and new grads face the biggest challenge. We spoke with a job seeker based in India who graduated from IIT – the most prestigious computer science university in the country. They shared a meticulously-maintained spreadsheet of their job search: 6 months of searching 100 companies contacted; all known to hire from IIT 4 initial interviews Zero offers Companies that once maintained robust university hiring programs have dramatically scaled them back, which is concerning because this could create an experience gap that impacts the industry for years to come, and could manifest in a “missing generation” of engineers. This could create an industry-wide shortage of early and mid-career talent; potentially stalling innovation, as fewer fresh perspectives enter the field and challenge established practices. Mid-career engineers: more interview loops to an offer. By mid-career engineers we refer to professionals with around 3-4 years of experience at respected companies. Candidates with this background are generally securing interviews, but the number of interview loops they go through to get an offer has increased substantially. For example, a high achieving, mid-level engineer in the Bay Area with 4 years of experience at Amazon went through eleven full interview loops at different scaleups and tech companies before receiving their first – and only – offer! Senior and staff engineers with high-demand specializations: premium comp and multiple offers. Companies are willing to pay significantly above market rate for proven expertise in AI, infrastructure, and security. Such candidates often have the luxury of choosing between competing offers and negotiating aggressively. One of Evan’s recent mentees is a principal SDE, based in the Bay Area, working in one of Microsoft's AI infrastructure groups. This Principal SDE received competing offers from NVIDIA, Snowflake, Meta, and other places – all within a single month! Engineering managers face a tough market. Widespread organizational restructuring swept through tech in 2022-2023, eliminating entire management layers, and companies have been slow to restore these positions since. As a result, many qualified engineering leaders now compete for a significantly reduced pool of opportunities. The heightened competition has transformed hiring standards. Technical abilities once overlooked for managers are now meticulously evaluated, and system design skills are also becoming non-negotiable. In the past, managers were often hired primarily on leadership capabilities, but today, they need to prove leadership, as well as being hands-on with technology, software engineering, and software design. The priorities in leadership roles have also shifted dramatically. Many tech companies previously focused on big-organization skills to build alignment across large teams. Today, those companies seek senior leaders who can remain focused on execution and support the higher executive layer; they’re usually not looking for senior leaders who want to remain at the high-level, interested in only steering the ship. This transition to engineering leaders being expected to be hands-on feeds into longstanding debates about the distinction between engineering managers and technical leads. After all, today’s engineering leaders look awfully similar to yesterday’s tech leads! This change is reshaping what companies expect from their engineering leadership.

3. Interview process changes

Tech interviews are changing, and below are the biggest shifts from a few years ago that we’ve observed.

DSA interviews: elevated technical bar

On one hand, the fundamental structure of technical interviews hasn't radically changed. On the other, expectations have become significantly more demanding. Companies are simply setting a higher standard for what constitutes a passing performance. In data structure and algorithm (DSA) interviews, engineers face noticeably harder problems at every stage of the process. One senior engineer interviewed at Google in 2021, and did so again last year. They told us: "I used to think that LeetCode ‘hard’ problems were never asked at Google. Now [in 2024] they seem to have become the norm." Beyond pure difficulty, we're seeing more emphasis on the completeness of implementation. Interviewers now routinely expect things like: proper error handling robust input validation clean code …all within the same time constraints as before. There is little incentive to pass someone who doesn't get everything entirely correct. This is the grim reality of what happens when there are so many qualified candidates in the interview pool. System design interviews: higher expectations System design interviews have undergone an equally dramatic elevation. Senior-level candidates we talk to report being expected to demonstrate familiarity with modern distributed systems concepts that previously might have only been expected at staff levels. Specialized knowledge has even crept into standard interviews. For example, geospatial indexing was once considered niche, but now has become commonplace in popular system design questions like "find nearby friends," Yelp-like applications, or ride-sharing platforms like Uber. We now advise candidates of all levels to have at least a basic familiarity with concepts like geohashing and spatial data structures (like quadtrees or R-trees) – as silly as that sounds. The same trends apply as to DSA: more candidates, more competition, a higher bar for hiring. One staff engineer candidate we worked with really stood out. He had worked at Google in Seattle for almost 15 years, and was re-entering the market for the first time since. He was taken aback by the expectations in modern interviews compared to when he joined Google. As someone who had never before worked on stream processing systems, he found it frustrating that companies he interviewed at expected him to have intimate familiarity with concepts like exactly-once semantics, windowing techniques, and watermarking algorithms. He told us: "I’ve built and maintained critical infrastructure for over a decade, but suddenly I'm expected to have specialized knowledge in areas completely unrelated to my expertise. It’s just so frustrating." It's easy to empathize. At the same time, it's also easy to see how the luxury of choice with candidates leads to this. This elevation in technical expectations isn't arbitrary; with reduced hiring volumes, companies can afford to be more selective, and many are specifically looking for engineers who can contribute across a broader range of problems. Engineers with deep but narrow specialisms have fewer opportunities in this environment.

Downleveling

Downleveling seems to be a new trend. With heightened hiring bars and current market conditions, we're seeing candidates routinely receiving offers a level below their current position, particularly at the senior and staff levels. In one case, Stefan worked with a candidate at Meta who successfully completed the interview process for a senior position later, but the offer was withdrawn and they were offered a mid-level role instead. This downleveling was due to a new policy requiring candidates to have at least six years of experience for senior positions. Personally, it’s heartbreaking – and arbitrary! – to see companies strongarm talent like this. The candidate ultimately accepted the offer, not being able to secure a better one. This trend is particularly true for staff-level engineers, with many being offered senior positions even when they meet but don't easily exceed the staff-level bar. Companies have calculated that with less competition for talent, they can implement more aggressive leveling practices, and many candidates are accepting lower level offers after months of searching. The long-term career implications of this are significant, as it often requires 2-3 years to get back to their former level. Despite this impact on career trajectory, we're seeing acceptance rates for down-leveled offers increase significantly as candidates prioritize stability in an uncertain market. Note from Gergely: we previously covered downleveling in The seniority rollercoaster.

Team match evolution

Perhaps the most significant structural change in the interview process has been the evolution of team matching. This is a process, now popular at Meta and Google, where candidates first pass an interview but don't receive offers until they match with a team. This team matching approach has been adopted more broadly at larger tech companies, but with a slightly ugly twist: it's increasingly functioning as an additional filter, rather than for the candidate’s benefit. We observe that team matching introduces a new set of "interviews" with hiring managers for candidates to navigate. It’s positioned as a mutual selection process, but the reality is that it's become another hurdle candidates must clear before securing an offer. Meta notably overhauled its hiring process in 2024, eliminating most aspects of its longstanding "bootcamp" program, in which new hires joined the company first, and then found their team during bootcamp. In its place, they've implemented a team matching system that requires candidates to secure a team match before receiving a final offer. The outcomes have been problematic for many candidates. One staff engineer we worked with who passed all technical rounds at Meta with strong, positive feedback, waited four months in team match limbo. To make things worse, by the time the team match completed, all their competing offers had expired! When a match finally materialized, the offer was significantly below initial expectations, with little room for negotiation in the absence of alternatives. We see that team-matching backlogs seem to have been cleared as of late at Meta, but waiting many months remains common, especially in more competitive markets like New York City. Indeed, some companies appear to be using team matching delays strategically as a negotiation tactic. Meanwhile, team-matching processes have morphed from giving candidates options, into additional screening layers where qualified candidates often find themselves eliminated or in limbo. Team matching has evolved into a de facto second interview, despite companies' efforts to present it otherwise. From our conversations with hiring managers, we've found they commonly interview ten candidates to fill a single position. These managers strongly advise candidates to thoroughly prepare for this phase and customize their presentations specifically for the team they want to join. Stefan advises candidates to plan for this phase and use it to their advantage. It’s true that the team matching process is slow – but this can create an opportunity to synchronize offers by scheduling interviews without team matching in place for later. Having several offers gives crucial leverage in negotiations.

4. Interview format differences at startups and Big Tech

With the rise of AI and growing skepticism about traditional coding interviews, we're seeing a widening gap between how Big Tech and newer companies do interviews. Traditional FAANG employers remain largely committed to their existing formats, with only minor adjustments. As one FAANG head of recruiting told us: "The inertia of these processes is enormous. These companies have built entire recruiting machines around their current processes, with years of calibration data. They're reluctant to make dramatic changes without compelling evidence that alternatives would work better at scale." Organizationally, changes to the interview process are often gatekept by engineering executives who would prefer to wait for a fire, than potentially create a problem at the first smell of smoke. Several mid-sized companies have moved toward more realistic, open-ended coding challenges that better reflect actual work. Examples of places adopting more realistic interviews include Stripe, Coinbase, and OpenAI. Rather than solving LeetCode questions, candidates tackle problems like: Designing a query engine Implementing a key-value store Designing an in-memory database to handle transactions Early-stage startups have pushed even further, often replacing traditional coding exercises with take-home projects that explicitly allow the use of AI tools. Yangshun Tay, founder of GreatFrontEnd, has been a prominent voice on Linkedin advocating for this shift in hiring practices. He detailed how his team successfully implemented this approach to better evaluate candidates' real-world problem-solving abilities: “Coming from Big Tech, I'm aware of the flaws of the typical interview process. Hence I use a somewhat different process when it comes to hiring Front End Engineers for GreatFrontEnd: 1. Zero LeetCode 2. Take-home assignment 3. The take-home assignment is a todo list (what?!) 4. Product sense is evaluated 5. Candidates who pass the take-home assignment know the upcoming interview questions beforehand and have ample time to prepare 6. Candidates get a perk for interviewing with us (...) It's important to note that such an interview process is more time consuming than the standard LeetCode one and does not scale well with the number of applicants.” This shift serves a dual purpose: it better reflects real work conditions, while combating the growing problem of assessment fraud. One seed-stage AI founder in the Bay Area we spoke with estimated that at least 20% of candidates were obviously cheating in their traditional coding tests. The issue isn't limited to startups; one of Evan’s good friends, an Amazon interviewer, confided that half of his last ten candidates were obviously using AI tools on secondary screens during supposedly monitored assessments. By explicitly incorporating these tools into the evaluation process, companies are adapting to workplace realities and assessments’ integrity challenges. Innovation in technical evaluation is bubbling up from smaller, more agile organizations, with Big Tech watching on from behind. This is an interesting inversion of the historical pattern wherein for the past decade, interview practices pioneered by Google and other tech giants trickled down to smaller companies eager to emulate their success. Now, it’s the opposite! One question is when or if FAANG employers will adapt to this new reality. The truth is that Big Tech is unlikely to make changes to the hiring process without resounding, negative post-interview signals, which could be things like a significant quantity of unregretted attrition attributable to poor interview signals. We think it’s more likely that Big Tech makes minor adjustments, like returning to on-site interviews in the short term. They recognize their current interview processes are essentially a game, but they do effectively identify candidates willing to invest in intensive preparation. Unfortunately for candidates, their willingness to grind through arbitrary algorithmic challenges correlates just enough with on-the-job characteristics of high-performing engineers to justify maintaining the status quo. We wonder if sticking to existing interview approaches is increasingly unsustainable in the age of large language models (LLMs). As AI tools become more capable of solving the exact algorithmic puzzles used in interviews, the signal value of those assessments will inevitably diminish. No engineer in the future will need to manually code algorithms like parenthesis balancing or binary tree traversals; instead, they'll prompt an AI to generate that code. The companies pioneering more realistic, project-based assessments are adapting to the reality of how engineering work will actually be done moving forward. What's clear is that candidates currently face a bifurcated landscape: prepare for traditional algorithm interviews for Big Tech roles, while simultaneously developing the skills to excel in more open-ended, practical evaluations for opportunities elsewhere.

5. Preparation strategies by experience level

We’ve found that an optimal preparation strategy varies significantly by experience level, and the relative importance of different interview components change with career progress. Here are patterns we’ve observed: For junior engineers with 0-2 years of experience, we’ve found this preparation the most effective: 80% of preparation time: focus on algorithms and coding problems 20%: preparation for the behavioral interviews The technical bar for junior roles has risen dramatically, making mastery of fundamental algorithms and data structures essential. Successful junior candidates typically solve 150-200 coding problems across all difficulty levels before interviewing. You must be a stronger coder before anything else. Mid-level engineers with 2-4 years of experience benefit from a more balanced approach: 50% coding 25% system design 25% preparation for behavioral interviews At this level, companies expect strong implementation skills and emergent architectural thinking. The most successful mid-level candidates we work with develop a systematic approach to system design, focusing on building blocks they can combine and adapt, rather than memorizing specific solutions. For senior engineers with 5-8 years’ experience, we’ve seen this setup work well: 50% preparation on system design 20% on coding 30% on behavioral interviews The primary differentiator at this level is the ability to design robust, scalable systems while clearly articulating tradeoffs. Senior engineers are expected to handle ambiguity well, asking clarifying questions and making reasonable assumptions when information is incomplete. The most common mistake we see from senior candidates is neglecting behavioral preparation. This is a critical error; at the senior level, companies are evaluating not just technical capability, but also leadership potential, conflict resolution skills, and cultural fit. We've seen technically brilliant candidates fail interviews or get down-leveled unnecessarily because they couldn't effectively communicate their impact, describe how they influenced cross-functional teams, or demonstrate self-awareness about previous challenges. Behavioral preparation isn't a checkbox; it significantly impacts hiring decisions, especially at senior levels and above. Staff+ engineers face a different challenge: Coding: a baseline at this point; stumble here and rejection can be swift. 90% of differentiation comes from system design and behavioral/leadership assessments. For these roles, companies look beyond implementation details to evaluate architectural vision, cross-functional leadership, and executive communication skills. Successful staff+ candidates demonstrate strategic thinking, connecting technical decisions to business outcomes in their system design discussions. Top AI labs like OpenAI have their own distinct hiring patterns. Rather than prioritizing traditional leadership skills, they heavily filter by pedigree or headline achievements and strongly favor candidates from elite, high profile companies, AI-focused startups, prestigious universities, and those with flashy achievements which they can communicate easily. Without this, applicants face an uphill battle, regardless of their technical excellence.

Effective Practice

Let's acknowledge the reality that the tech interview process has become a specialized game that continues to deviate from day-to-day engineering work. This isn't ideal, but it's the reality. Companies have settled on standardized evaluation approaches that don't perfectly mirror actual job responsibilities, and this disconnect frustrates many engineers. The good news is that the rules of the game are publicly known. It's essentially a “secret handshake” you need to learn to gain entry into these companies. The process might seem arbitrary, but with proper preparation, it's entirely learnable. Anyone with sufficient dedication can master these patterns and significantly improve their performance. We recognize our bias here; as an interview preparation platform, we obviously believe in the value of structured practice. The data speaks for itself: candidates who engage in deliberate practice consistently outperform those who don't, regardless of natural ability or experience level. The patterns are clear across thousands of interview outcomes. If investing in formal mock interviews doesn't fit your preferences or budget, that's completely understandable and there are numerous alternatives: find a friend who works at your target company, connect with peers on Reddit or Discord communities, or form study groups with other job seekers. The specific method matters less than the fundamental principle that interviewing is a skill that improves with practice, feedback, and iteration. What doesn't work is assuming your daily engineering work has prepared you for the interview environment. The performance aspect of interviewing – thinking aloud, handling pressure, communicating clearly while solving problems – requires deliberate practice in conditions that mirror actual interviews. Without this, even brilliant engineers can struggle to demonstrate their capabilities within the artificial constraints of an interview process.

6. Silver linings

The tech hiring landscape of 2025 is a far cry from the job seekers’ gold rush of 2020-2021. The pendulum has swung hard from "please take our money" to "prove you're worth it," and engineers are feeling the squeeze. But don't throw in the towel! Major tech companies including Amazon, Apple, Microsoft, Google, and Meta, collectively maintain nearly 40,000 open roles. Even orgs inside these companies that aren't growing headcount-wise are still hiring to backfill, even as they make layoffs. The AI sector continues to experience exceptional growth, with companies like OpenAI, Anthropic, and numerous AI infrastructure startups, hiring aggressively. Ignore bleak predictions about the imminent replacement of engineers; the reality of hiring shows how much businesses need engineers to achieve their goals. Companies in the AI sector often offer comp packages reminiscent of the 2021 peak, particularly for engineers with relevant expertise, or those demonstrating strong learning potential in AI-adjacent domains. The engineers crushing it right now understand that modern tech interviewing has basically become its own bizarre sport, complete with arbitrary rules and peculiar traditions. They're treating interviews like performances, not just technical evaluations, and they're putting in the practice hours to match. As AI continues reshaping how engineering work gets done, interview processes will have to evolve too because they can't keep testing for skills which AI makes obsolete. But for now, we're stuck in this awkward transitional phase where you need to master both the old-school algorithm games, and newer, more practical assessments. At the risk of stating the obvious, at Hello Interview we see a clear pattern: there's a strong correlation between preparation investment and interview success. Candidates who dedicate time to structured practice are still more likely to secure multiple offers, even in this more selective environment. The game might be harder, but at least the rulebook is public. With enough deliberate practice and the right preparation strategy for your level, you can still come out on top, even in this tougher market.

Takeaways

Gergely again. Thanks very much to Evan and Stefan for summarizing what they see in the tech market. They gathered most of these insights by interacting with devs using Hello Interview, the mock interview and interview prep service of which they’re cofounders. Some interesting things I’m reflecting on: A tighter job market was predicted due to the end of zero interest rates. A year ago, we analyzed what the end of 0% interest rates meant for software engineers. One top conclusion was to expect a tougher job market: more competition, less “shopping around”, and engineering managers especially having a hard time. This is reflected in what Evan and Stefan report from the recruitment front line. In some ways, since this was a predictable effect, it’s easier to understand as a cause of some of today’s hiring challenges. AI is hot, and hot AI companies care a lot about pedigree. One thing that feels a little surprising is learning from Evan and Stefan how much companies like OpenAI, Anthropic, and other top companies seem to filter by pedigree. Perhaps this should not be a surprise given these companies are inundated with applications from everywhere: if they can afford to hire from the most glittering tech companies, why wouldn’t they? It’s a reminder that even if you are in the AI engineering field, getting into a top workplace from a lesser-known company is close to impossible without recognised industry expertise. If your target is to one day work at such companies, you might need to prepare for a multi-step career journey, starting out at lesser-known places doing AI-related work, forging a path towards better known companies, and then, one day, perhaps getting into the “top” places. Getting a job takes more time investment. There’s constant complaints from devs about how time-consuming it is to prepare for tech interviews. If it’s a company doing Leetcode-style algorithmic interviews, the issue is the time it takes to practise beforehand. Meanwhile, if it’s a company with a complex takehome, the complaint is the time it takes to do the exercise itself. As a competent engineer, you probably assume that an employer should accept that you know your craft, skip all the time-consuming evaluation that just seems pointless, and lead with an offer, right? But from the vantage point of a hiring manager, a new hire is always a risk. Few things are worse than a hire that doesn’t work out because of a skill gap, motivation, or any number of reasons. Interviews are meant to verify skillsets and motivation. We’ve gone from a candidate’s market in 2020-2022, to an employer’s market today. In this environment, you will most likely need to invest a lot more time in preparing for job interviews and doing them. The upside is that this preparation doesn’t go to waste, as interview formats don’t all change so rapidly. Expectations are going up, and will keep on rising. At Uber, my manager at the time told me that performance expectations at Uber only went one way for the same level: up. This was because the business was growing rapidly, and the expectation of any new hire was to raise the bar. This meant that over time, expectations of “normal” for any career level kept inflating. After a while, this felt natural, but it was a strange thing to adjust to! I feel we’re seeing something similar play out across the broader industry, today. Due to lots of qualified, capable engineers applying for jobs, expectations are going up at all career levels, and this is why downleveling is more common. If you get a downleveled offer: first of all, congrats for getting an offer! In this job market, it’s an achievement in itself. It’s helpful to take current job market conditions into account before being too disappointed by this outcome. And if you have yet to receive an offer, know that the market is tougher right now than it’s been in a decade, so job searches take longer than before. Ref
Tags: Technology,Layoffs,Management,

Friday, March 14, 2025

Why Most Job Seekers Are 'Never' Hired. Kerala Techie Shares 6 Reasons - Viral Post

To See All Articles About Layoffs: Layoffs Reports
It has been observed that many job seekers find it difficult to get a job or get through job applications. After getting stuck in a cycle of job applications and rejections, they are not able to figure out what went wrong. However, this one post is going viral on social media, which tells social media what could be the possible reasons that 'most of the job seekers are never hired.'

The post was shared by a Kerala-based techie who shared six reasons that ''why most of job seekers are not able to get jobs.'' He also elaborated on the mistakes that professionals should avoid making. His post based on the personal experiences in job hunting and mentoring candidates, Abhishek Nair listed key mistakes that prevent job seekers from breaking into the industry in X post.

Nair said in his post, ''A recruiter friend of mine recently revealed why 90% of job seekers never get hired. Recently, over a casual chai meet, one such recruiter friend - who manages hiring for a lean travel tech startup - shared the 6 biggest reasons why most job seekers never get hired.''

In his conversation, he compiled the list of reasons explaining why job seekers are missing out on opportunities and how can they be avoided.

The Key Reasons

(1) Zero Practical Experience - ''In today's world, where it's easier than ever to build websites and projects, if your resume or portfolio lacks solid projects, you don't deserve a job. You don't need to build the next Facebook or Twitter — but a calculator app won't cut it either. Build decent projects that push your limits while showcasing your skills at the same time!'' (2) Applying Blindly - ''Spraying your resume to every job listing on LinkedIn isn't a job search strategy — it's desperation. Most recruiters can smell a mass application from a mile away. Apply to fewer jobs, but customize your resume and cover letter to show you're genuinely interested in that company and that role.'' (3) Zero Personal Brand - ''If your only presence online is a private Instagram account and a LinkedIn profile with 12 connections — you're invisible to recruiters. The easiest way to stand out is to show your work publicly. Write about what you're learning, share your projects, or just document your journey — even if you're a beginner.'' (4) No Networking - ''Game Most jobs aren't found on job boards — they're found through people. If you're not building relationships with devs, recruiters, or hiring managers on X, LinkedIn, or Discord communities, you're making your job search 10x harder. Your first 10 DMs will probably get ignored — but that 11th DM could change your career.'' (5) Resume Full of Buzzwords - "Hardworking, self-motivated team player with a passion for technology" Cool. So is everyone else. Instead of stuffing your resume with generic adjectives, focus on: What problems you've solved, What tools you used, What impact you made. Let your work speak louder than the buzzwords.'' (6) Waiting for the "Perfect Job" - "I'll apply once I learn one more framework." "I'll start networking once I finish my portfolio." "I'll post on LinkedIn once I know more." Bro... Nobody is coming to save you. Start with whatever you have, however imperfect it is. The best opportunities come to those who are already in motion — not those waiting to be ready.'' The post has since gone viral and garnered over 20 thousand views. Many netizens have applauded the post for deep insights. Ref
Tags: Layoffs,Management,

Wednesday, March 5, 2025

Top Indian IT firms reduce bench time amid uncertain times; average duration drops to 35-45 days

To See All Articles About Layoffs: Layoffs Reports
The average bench time at present has come down to 35-45 days compared to an average of 45-60 days in FY20 and FY21, when the sector’s revenue growth for the sector was in the higher double digits.

Top Indian IT services companies, including Tata Consultancy Services (TCS), Infosys, Wipro, HCLTech, and Accenture, among others, have been reducing bench sizes in the past year and a half in a bid to defend margins and improve utilisation rates as revenue growth remains slow.

Staffing firms and industry experts said that not just bench sizes, even the bench holding timelines have plunged significantly. Benching in IT services industry refers to the employees on payroll who haven’t been deployed on any active projects. They are usually kept as a backup in case of a sudden client demand arises.

According to data sourced from market intelligence firm UnearthInsight, the average bench time at present has come down to 35-45 days compared to an average of 45-60 days in FY20 and FY21, when the sector’s revenue growth was in the higher double digits. This trend is expected to continue in FY26 too.

Currently, employees with nine to 14 years of experience across legacy skills too are at the risk of bench layoffs, as niche skills related to artificial intelligence, machine learning and cloud are more in demand.

Meanwhile, benched employees which accounted for 10-15% of the average overall headcount mix of the IT companies have now come down to just 2-5%, according to data from staffing firm TeamLease Digital.

Kamal Karanth, co-founder of specialised staffing firm, Xpheno explained that the high bench volumes in calendar year 2022 and early 2023 were an outcome of the hyper-hiring in 2021 and early 2022, resulting in lower utilization rates.

“The resizing and rebalancing of headcounts since 2023, amidst revenue and margin pressures hit the bench volumes first to move the utilisation rates up again. Enterprises have since gone for a mix of staffing consumption for just-in-time workforce and subcon arrangements for longer tenures,” he told Moneycontrol.

Krishna Vij, business head-IT staffing at TeamLease Digital said, “From 70-75% utilisation, companies have started reaching 80-85% utilisation rates. The attrition has also reduced to 11-13% from 28-30%, When you are not losing people you will not be utilising the benched resources. With GCCs hiring directly from the talent pool, IT firms have started facing increased competition. So they started opting for leaner and project specific hiring models.

While current utilisation rates stayed in the optimal mid to late 80 percent range for IT firms, estimated bench sizes have shrunk by 15 percent compared to the size a year ago. On a 2-year basis, the estimated bench size reduction is nearly 22 percent, data from Xpheno said.

Select Tier-I firms such as TCS do maintain a slightly higher lateral bench to respond to clients for faster or immediate deployment. However, in times of slow down when deal closures are getting delayed, IT services firms have to optimise costs, according to Gaurav Vasu, founder and CEO, UnearthInsight.

He added, “Around 2-3 months is the current bench policy for laterals but Tier I firms like TCS, Infosys, Wipro, HCL, Accenture are looking at faster deployment to projects from bench hence bench optimization is a normal activity specially for skills not in demand or skills where demand visibility is weak.”

This reflected in the negative quarterly headcount addition of most of the top five Indian IT companies, even as overall the sector has started hiring more as compared to the previous fiscal seeing some green shoots in demand environment.

IT companies on the other hand have started highlighting a fundamental shift in traditional tech services business models and the need to overhaul it, as AI has started driving productivity gains for customers bringing down project tenures and sizes.

Last week, HCLTech CEO and MD C Vijayakumar said, “The business model is ripe for disruption, what we saw in the last 30 years a fairly linear scalling of IT service. I think the time is already out for that model and in the last couple of years we have been challenging our teams on how you can deliver twice the revenue with half the people, that’s really what I found I make through a lot of my teams.”

He was speaking at the Nasscom Technology and Leadership Forum (NTLF) 2025 in Mumbai.

Distribution of talent

Not just demand cycles and AI disruption, the bench layoff trends are also an implication of the location of the delivery centres, said Vasu.

He shared that managing a bench in smaller cities both globally and in India has been difficult as niche skills-focused projects don’t see many takers for the tier II cities often. “IT companies try to take fungible skills or vanilla skills to Tier-II cities, global low cost cities as both time and cost of bench could directly impact EBIT negatively. Currently 0% to 0.25% of the headcount of a Tier-II city based campus or delivery centre will be on bench across vanilla (legacy skills) and niche skills,” he said.

Another staffing firm business lead seeking anonymity said that certain IT majors especially Tier-I firms don’t want to keep any bench. They are even passing the bench pressure to staffing firms.

“They don’t have to invest on the bench, but staffing firms have to bear the costs to retain the engagement with the client IT firm. Depending on how the projects come, staffing firms will then deploy the candidates. Until then, the benched candidates will be on staffing firms’ payrolls. That’s one way of doing it,” the person said.

Ref

Layoffs in the US - How to protect your career as Meta and the federal government announce cuts

To See All Articles About Layoffs: Layoffs Reports
With major companies like Meta and federal departments announcing significant layoffs, workers across the US are facing growing uncertainty. As companies adjust their workforce to respond to economic shifts, professionals must take proactive steps to secure their careers and protect their futures. According to experts, strategic planning now can prevent hasty decisions later, giving workers the best chance to navigate potential job cuts successfully.

As reported by Forbes, layoffs are not confined to just tech giants like Meta but are also impacting government agencies. This broad wave of cuts means it's critical for employees to consider their options early and ensure they're prepared for what's next, whether that means transitioning, relocating, or even starting a new career path.

Evaluate your career goals and long-term plans

Before making any decisions about staying or leaving, it's important to think about your career goals. Financial advisors have been found to suggest that you need to assess what kind of role you want if layoffs become a reality. Would you prefer to stay at the company if a buyout offer is presented, or would you consider consulting or moving to a new opportunity? Even if layoffs are not immediately looming, taking time to envision your long-term goals can spark interest in pursuing something new. Perhaps becoming a digital nomad or launching your own business could be a more appealing option.

Prepare a thorough handover plan for a smooth transition

If layoffs are inevitable, creating a detailed handover plan is critical to maintaining professional relationships and ensuring a smooth exit. As Forbes highlights, it's essential to document key processes and responsibilities that your successor could pick up. This might include creating an FAQ guide for common tasks or identifying potential colleagues who might be suitable replacements for your role. Not only will this improve your departure experience, but it could also benefit your reputation, leaving a positive impression with your employer and colleagues. Additionally, remember to handle your personal transition. Updating personal contacts, ensuring your work accounts are separated from your personal life, and saving any work samples or projects you might need in the future are crucial steps for a seamless shift, whether you leave voluntarily or involuntarily.

Align with your manager on your departure narrative

In times of layoffs, managing the narrative of your departure is important. So, align with your manager on how he will describe your exit, especially if only a few employees are affected. Whether it's framed as a strategic move or due to economic pressures, having a consistent story is vital for your future job search. If you're leaving voluntarily, it's important to communicate why in a way that reflects positively on your career. Are you making a move for better opportunities, or are there frustrations that you want to express? How you frame your exit can play a significant role in how you're perceived by future employers.

Start preparing now to stay ahead of job market competition

The job market often becomes highly competitive when layoffs occur, flooding the market with candidates. It's crucial to start your job search and career planning before the competition intensifies. Even if you're not ready to start applying, taking steps such as updating your resume, refining your LinkedIn profile, and reconnecting with your professional network can put you ahead of the curve. By understanding which industries and roles align with your skills, you'll be better prepared when the time comes to make a move. Early preparation ensures you're ready to navigate the job market, which might be more competitive than ever following a wave of layoffs.

First offers might be the best offers in times of layoffs

If layoffs are already happening, the initial round of severance offers often includes better benefits, such as larger severance pay, more support for job placement, and greater flexibility in transition logistics. For those who decide to stay with their current employer, it's essential to be aware that further layoffs could be on the horizon, making it crucial to assess whether it's better to leave early for a more generous package. With layoffs affecting multiple sectors, including both private companies like Meta and government agencies, employees must be proactive in securing their careers. By planning ahead and considering all options, workers can navigate these uncertain times with confidence, ensuring that they remain in control of their professional future. Ref

Saturday, March 1, 2025

Meta, HP, and Salesforce lead February’s layoff surge - Why is Big Tech cutting jobs?

To See All Articles About Layoffs: Layoffs Reports

In February's tech bloodbath, at least 16,000 employees were impacted after big tech layoffs.

The spate of layoffs in the tech sector galloped to new heights in February, which seems to be one of the worst months in the last six months for tech professionals. Meta, HP, and Workday were some big names to axe a massive chunk of their workforce. February saw 46 companies lay off 15,994 employees, according to layoffs tracker Layoffs.fyi. When compared to January, layoffs surged in February, resulting in a staggering 184 per cent increase in the number of affected employees. Last month, 25 companies were reported to have fired 5641 of their employees.

Meta’s massive move

At the beginning of the month, it was reported that Meta is conducting layoffs that could impact around 5 per cent of its workforce, which is about 3,600 employees. These layoffs have been described as ‘performance-based cuts,’ and they began on February 10 with notifications planned to be delivered throughout the following week. Earlier in January, Meta CEO Mark Zuckerberg had informed his staff that he planned to raise the bar on performance management and move out low performers faster. “We typically manage out people who aren’t meeting expectations over the course of a year,” he stated in an internal memo, but added, “Now we’re going to do more extensive performance-based cuts during this cycle.” However, following the announcement, it was reported that some employees with strong performance reviews were also affected.

HP axes over 2000 jobs

On February 27, tech giant HP announced that it was going to cut up to 2,000 jobs as part of its ongoing restructuring plan. Reportedly, the company currently has a strength of around 58,000 workers across 59 countries. The company is hoping to save about $300 million by the end of October 2025 with the cuts. However, the company may reportedly also incur about $150 million in restructuring costs. HP had introduced its restructuring plan named ‘Future Now’ in November 2022 with a goal of cutting 7,000 jobs. With the fresh round of layoffs, the total number under the plan would come to 9,000. With the latest job cuts, the tech giant expects to save $1.9 billion through the plan, with a total restructuring cost of about $1.2 billion. All of this comes after the company saw stronger financial gains in the first quarter. The company reportedly saw increased demand for AI-powered PCs.

More layoffs

Beyond Meta and HP, companies like Salesforce, Workday, and Autodesk handed the pink slip to a sizable chunk of their workforce. On February 4, it was reported that Salesforce will be cutting over 1,000 jobs from various departments as it was restructuring to prioritise its AI initiatives. This also comes at a time when the company was on a hiring spree for sales roles to meet the needs of their primary AI offering—Agentforce. Similarly, Workday laid off 1,750 of its staff, which is about 8.5 per cent of its workforce. The company reportedly cited its plans to invest in AI, global expansion, and office space reductions. Later in February, Autodesk announced a 9 per cent work force reduction, which would likely impact 1,350 employees as part of its strategy to focus on core business areas, including AI.

Why are big tech companies laying off staff?

Based on a broader view, there are numerous factors that drove the mass layoffs in February 2025. Uncertainty about the future of the economy has been a persisting concern, coupled with rising interest rates and inflationary pressures. These aspects have been pushing businesses to reassess their financial strategies. Most companies have cited economic volatility as a major driver for their cost-cutting initiatives. Also, overhiring during the pandemic has left many organisations overstaffed, prompting them to reduce unnecessary roles amid a decline in revenues. Another major change is the increasing adoption of AI solutions rendering many jobs redundant, especially the likes of customer service, HR, marketing roles, etc. In some cases, mergers and acquisitions have also forced companies to restructure, resulting in overlapping roles and further job cuts. Waning investor confidence is also a reason, as many companies are facing stock price declines due to lower-than-expected revenue projects. This has pushed many companies to cut costs to maintain their profitability. When compared, January saw significant job cuts, although fewer than February. Major layoffs in January included Amazon, which carried out large-scale layoffs, though the exact number was undisclosed. January’s layoffs were seen in sectors like e-commerce, finance, and tech media, reflecting continued adjustments following the holiday season. On the other hand, December 2024 reported a slightly different pattern, with layoffs in aerospace, finance, and energy sectors. Lilium, an aerospace company, laid off 1,000 employees, effectively cutting its entire workforce. The trend in December suggested an industry-wide shift toward downsizing, anticipating economic challenges in early 2025. For now, there seems to be no slowing down for layoffs. However, some analysts have predicted the layoff wave could slow down by mid-2025; some believe continued economic uncertainty may spell more job cuts. With businesses increasingly adapting to changing market conditions, the workforce will need to stay agile. Ref

Wednesday, February 12, 2025

Workday lays off 1,750 employees, or about 8.5% of its workforce (Feb 2025)

To See All Articles About Layoffs: Layoffs Reports
Workday lays off 1,750 employees, or about 8.5% of its workforce
In a Wednesday (5th Feb) memo to employees, published in a securities filing, Workday CEO Carl Eschenbach said the layoffs were necessary for ongoing growth efforts at the company.
...

In a Wednesday memo to employees, published in a securities filing, Workday CEO Carl Eschenbach said the layoffs were necessary for ongoing growth efforts at the company — including a particular focus on artificial intelligence investments.

“As we start our new fiscal year, we’re at a pivotal moment,” Eschenbach wrote. “Companies everywhere are reimagining how work gets done, and the increasing demand for AI has the potential to drive a new era of growth for Workday.”

...

Workday aims to notify the majority of employees affected by the cuts on Wednesday. “I realize this is tough news, and it affects all of us,” Eschenbach added — encouraging employees to work from or head home for the day.

The maker of human resources software also disclosed that it expects to exit certain office space, but didn't specify a timeline or which locations may be impacted. Still, Eschenbach's memo notes that the restructuring will work to expand Workday's global reach by “investing in strategic locations.”

And despite the current layoffs, the maker of human resources software says that it still expects to continue hiring in certain locations and positions over the next year.

Workday estimates that it will incur between $230 million and $270 million in charges related to the restructuring plan — primarily in severance payments, employee benefits and other related costs. All employees laid off in the U.S. will be offered a minimum of 12 weeks of pay, with additional weeks based on tenure, Eschenbach said Wednesday, adding that affected workers in other countries will be offered packages based on local standards.

The job cuts at Workday arrive as layoffs continue across the tech sector — including from big names like Intel, Cisco and Apple over the past year — amid a broader wave of industry consolidation. Many companies have turned to restructuring as they grapple with how to stay competitive with evolving consumer spending, while also boosting AI-related investments.

Workday plans to release earnings results for its full 2025 fiscal year later this month. In the third quarter, the Pleasanton, California-based company posted a net income of $193 million and revenue of $2.16 billion — up from a net income of $132 million and revenue of $2.09 billion in the period prior.

Shares for Workday were up more than 2.5% by midday trading Wednesday.

Ref

Meta kicks off fresh layoffs, employees with strong reviews among those hit (Feb 2025)

To See All Articles About Layoffs: Layoffs Reports
Meta Platforms, on Monday, kickstarted the process to terminate “low-performing” employees by notifying the job cuts as it scours for new talent to dominate the AI race.
...

Meta notified laid-off employees via email and is providing severance packages to US-based staff, according to Bloomberg News, citing confidential sources. The severance includes 16 weeks of base pay, plus an additional two weeks for each year of service. Employees eligible for performance bonuses will still receive them, and stock awards will be granted as part of the upcoming vesting cycle later this month, the report added.

Reports say several employees who received positive ratings for their performance during the mid-year reviews were also handed pink slips. These employees were shocked to see their ratings being downgraded to "Meets Most" during the year-end reviews from "At or Above Expectations", making them eligible for the job cuts.

Kaila Curry, who worked as a Content Manager at Meta's San Francisco office, according to her LinkedIn profile, was one of the employees who was rated “exceeds expectations” rating in her mid-year review and was let go on Monday.

"I was placed on a project that multiple managers admitted had me ‘not set up for success’. I frequently asked for feedback and was always told I was doing a good job. I was never placed on a PIP, never given corrective feedback, and never properly mentored or provided clear expectations," she said in her LinkedIn post sharing the news.

Another employee Brittney Ball, who worked at the company for five years, according to her LinkedIn profile, was also laid off on the same day.

Ref

10,700 Employees Quit Cognizant In 365 days As Attrition Swells To 15.9% (Feb 2025)

To See All Articles About Layoffs: Layoffs Reports
Cognizant Technology Solutions, headquartered in the US, experienced a decline in its workforce during the December quarter, with a reduction of 10,700 employees compared to the same period last year and 3,300 fewer than the previous quarter. Despite this, the company anticipates increasing its headcount throughout 2025 as it grows. CFO Jatin Dalal expressed confidence in adding employees over the course of the year to support expansion.

Cognizant’s Workforce Trends: Attrition, Returnees, and Utilization Insights

The company concluded the quarter with approximately 336,800 employees. Attrition increased to 15.9% on a trailing twelve-month basis, reflecting a better demand environment and enhanced hiring capabilities. This rise in attrition aligns with trends observed across Indian IT firms in recent quarters. Additionally, the company’s utilization rate decreased by 2 percentage points to 82%. However, management highlighted that utilization improvements remained strong throughout 2024.

CEO Ravi Kumar S emphasized that Cognizant is witnessing a “return of returnees,” with 13,000 former employees rejoining the company in 2024, and an additional 10,000 expressing interest in coming back. This trend highlights the company’s strong talent pool and its ability to attract leadership.

Cognizant’s Workforce Trends and Market Position Amid Industry Shifts

In contrast, Cognizant’s rival Accenture saw its headcount grow for the third consecutive quarter, adding 24,697 employees to reach 799,000 in Q1 FY25. On the other hand, India’s top five IT services companies—TCS, Infosys, HCLTech, Wipro, and Tech Mahindra—reported a combined reduction of 2,587 employees in Q3 FY25, primarily due to the seasonally weaker period marked by furloughs and reduced hiring.

Although Cognizant experienced a reduction in workforce, it surpassed revenue expectations. The company has projected an annual revenue growth of 3.5% to 6% in constant currency terms for 2025, indicating optimism for the year ahead.
Ref

Dreams shattered, careers in limbo after two and a half years' wait - Inside Infosys trainee layoffs (Feb 2025)

To See All Articles About Layoffs: Layoffs Reports
Tears running down her cheeks, a female trainee from Madhya Pradesh pleaded with Infosys officials on February 7, "Please let me stay the night. I will leave tomorrow. Where will I go right now," after she was asked to vacate the Mysuru campus immediately , according to another trainee who, too, was fired by the IT services giant.

The two were among the around 400 trainees let go by Infosys on that day after failing evaluation tests three times in a row.

"We don’t know. You are no longer part of the company. Vacate the premises by 6 pm," was the response from an Infosys official, as claimed by the trainee.

Hundreds of trainees scrambled to find taxis and buses to head back to their hometowns. Many had joined Infosys nearly two and a half years after graduating, only to be terminated just months later. Fear and uncertainty loomed as they grappled with how to break the news to their parents on returning home.

Early morning on February 7, batches of about 50 trainees were called in with their laptops for a discussion, starting at 9.30 am.  They were huddling inside a room guarded by security outside and bouncers inside.

“You are required to maintain confidentiality, hence please do not discuss this, or share this calendar invite with anyone,” read a mail sent to the affected trainees a day earlier.

The trainee mentioned above said Finacle (Infosys’ digital banking platform) employees were on campus and so were a few US clients. “Therefore, buses were used as shields to cover the area where we were being called and terminated one by one. We were escorted out in a way so as to not catch their attention,” the trainee said.

“This is cruelty, it is a big company, trainees fear speaking the truth,” another trainee who was asked to leave told Moneycontrol on the condition of anonymity.

Infosys, in a statement, said: “At Infosys, we have a rigorous hiring process where all freshers, after undergoing extensive foundational training at our Mysuru campus, are expected to clear internal assessments. All freshers get three attempts to clear the assessment, failing which they will not be able to continue with the organisation, as is also mentioned in their contract. This process has been in existence for over two decades and ensures a high quality of talent availability for our clients.”

Trainees, who spoke on the condition that they not be identified, alleged that the company made the eligibility criteria very stringent for the 2024 batch.

Fears still loom

They alleged that trainers had warned them beforehand that the exam would be designed in such a manner that a significant number of trainees would struggle to pass.

The fear still looms that about 4,500 trainees, who are still undergoing training, might meet a similar fate, sources said.

On February 14, about 450 trainees from the October 21 batch, selected mostly for system engineer roles, will sit their third attempt. It remains to be seen how many clear the exam and how many are terminated.

Evaluation, Passing Criteria

The evaluation and passing criteria for trainees is divided into different focus areas, with benchmarks that must be met to merit a completion.

For the “technology stream” trainees are required to achieve a minimum of 50 percent in each focus area, internal documents accessed by Moneycontrol showed. However, just clearing individual focus areas is not enough; an overall average score of at least 65 percent across all focus areas in the “technology stream” is mandatory.

A flashback: 2022

Over the past two and a half years, the freshers training programme has undergone drastic changes allege trainees.

In 2022, the process was more structured and provided enough time for learning. Cut to 2024, the syllabus has been majorly expanded and the completion time drastically reduced, making it nearly impossible for trainees to fulfill the required assessment.

In 2022, freshers had to go through two main testing phases — generic and technology stream. The generic phase itself had two assessments: FA1, which is Java, and FA2, which is Database Management System (DBMS). FA1 involved only one coding problem and some multiple-choice questions (MCQs), while FA2 required running just four queries in DBMS.

The passing criteria across was overall 50 percent.

There was no time limit for attempting the generic test — candidates could take it at any point within their six-month training period.

Even if someone failed the generic phase, they were still allowed to move on to the technology stream phase and continue their learning, sources said.

In many cases, trainees who failed were still promoted to meet company hiring demands.

2024, a whole new ball game 

Fast forward to 2024, and the entire system was overhauled, making it much more challenging at a time when the IT industry was grappling with a challenging demand environment.

India’s second-largest software exporter sent offer letters back in 2022 but did not on-board the candidates after the company faced a slump. The delay, however, was an industry-wide issue. Fears of a looming recession in IT companies' major markets and the absence of discretionary spending led companies to pause hiring, leading to a multi-decadal decline in headcount.

IT companies, including Infosys, have since been slow on hiring. They gradually started hiring as the demand environment seem to turning around after almost one and a half years.

The structure remains the same — generic and stream phases — but the syllabus and passing criteria have changed dramatically, above sources rued.

In the generic phase, the two tests have been renamed as F1 (Java) and FA2 (DBMS).

F1 (Java) now covers Data Structures, Object-Oriented Programming, and Programming Fundamentals. Instead of just one coding problem, candidates now face three coding challenges— one each for Data Structures, Programming Fundamentals, and OOPS. Additionally, MCQs are included.

Each section also now requires a minimum of 65 percent to pass instead of a 50 percent average.

FA2, or DBMS, now requires candidates to run eight queries instead of four, further increasing the difficulty.

The syllabus for Programming Fundamentals is now around 120 hours long, while Data Structures is about 40 hours. The total syllabus requires 200 hours of study.

However, candidates are expected to study from 9.15 am to 5.45 pm in training, and to cover the syllabus, they would need an extra eight hours of self-study a day, which is practically impossible.

Similarly, DBMS training has been reduced to just 10 days despite requiring 100 hours of study.

The Impact

These sudden and excessive changes have resulted in a drastic increase in failure rates.

Of the 930 trainees that joined on October 7, around 160 passed in the first attempt and over 140 in the second.

Over 630 students failed by January 1, 2025 due to the increased syllabus and reduced time.

Previously, freshers were given up to three attempts for the generic phase and could still proceed to the stream phase. Now, trainees must clear generic first before moving to the stream phase.

Earlier termination rates were under 10 percent but now they have risen to 30-40 percent.

Unfair syllabus overlap

A major concern is that the same syllabus is being taught for different roles with vast salary differences, sources said.

System engineers, who earn about Rs 20,000 a month, are now studying the same syllabus as specialist programmers, who earn approximately Rs 70,000.

Previously, hiring exams were designed as per job roles — system engineer papers were simpler, as it was a support role. Now, they are forced to take the same difficult tests as high-paying specialist programmers, they said.

Ref