Infosys has announced incentives to employees willing to transfer to the company’s Hubballi development centre. The IT firm appears to be expanding its operations in tier-2 cities in the the Mumbai-Karnataka region. Infosys’ announcement comes months after Arvind Bellad, BJP MLA from the Hubballi-Dharwad West constituency, criticised the firm for failing to create jobs locally around the development centre and demanded that the state government take back the 58 acre piece of land on which the centre sits.
In February, Bellad had said in the Karnataka Assembly that Infosys had been granted the land at a subsidised rate of Rs 35 lakh per acre, compared to its actual value of Rs 1.5 crore. He had also said that many farmers in his constituency had given up their lands hoping that Infosys would be creating jobs locally.
According to reports, Infosys will offer an incentive of Rs 25,000 to its band 3 and below employees upon initial relocation to Hubballi and an additional Rs 25,000 every six months for two years. Those relocating will also reportedly receive Rs 1.25 lakh at the end of 24 months.
Similarly, band 4 employees will receive Rs 2.5 lakh, Rs 5 lakh (band 5), Rs 6 lakh (band 6), and Rs 8 lakh (band 7) at the end of 24 months, apart from the initial relocation incentive.
In February, amidst similar allegations made in the Assembly against other such large firms in the state, Karnataka Minister for Commerce and Industries MB Patil had pointed out that this was in violation of the Industrial Policy 2020-25, which says that companies receiving incentives from the government must provide 100% Group D jobs and an overall 70% jobs to Kannadigas. He warned that the state government would withdraw benefits to companies that fail to create jobs for locals.