Infosys modifies Return-to-Office policy with new flexibility rules

Infosys has updated its internal policy to allow certain employees to work from home. This decision comes as the company continues to navigate its return-to-office strategy during the third quarter of fiscal year 2026. While the firm previously asked staff to attend the office for at least ten days a month, management has now identified specific categories eligible for exemptions.

Employees with significant health conditions or those with physical disabilities can apply for these exemptions. The company also includes staff who serve as primary caregivers for children or elderly family members. To qualify, an employee must submit an application through the internal InfyMe portal. Each request requires supporting documentation, such as medical certificates or proof of caregiving responsibilities.

The Human Resources department reviews these applications on a case-by-case basis. If approved, the exemption typically lasts for a set period, often six months, before the employee must re-apply. This move signals a change in how the company balances its operational needs with the personal requirements of its workforce.

This policy shift occurs as the broader Indian IT sector faces a difficult period. Recent data shows a net contraction of 2,977 employees across the top six IT firms this quarter. While Infosys added 5,043 people to its total headcount of 337,034, the industry is moving toward a "Barbell Model." This model prioritizes AI experts and freshers while reducing middle-management roles.

By offering these exemptions, Infosys aims to retain experienced talent who might otherwise leave due to rigid office mandates. Industry peers like TCS and Tech Mahindra reported significant headcount drops this quarter. In contrast, Infosys appears to be using flexibility as a tool to maintain its talent pyramid.

The company still encourages most of its staff to utilize its development centers. However, these new rules provide a safety net for those with genuine constraints. Management states that the goal is to foster a culture of trust while meeting client demands.

Managers now have more authority to approve or deny these requests based on project requirements. If a role requires a physical presence for security or client-specific reasons, the exemption might not apply. This localized decision-making helps the company avoid a one-size-fits-all approach.

As global markets in the US and Europe slow down, Indian IT firms must find ways to stay lean. Infosys is choosing to adapt its office culture rather than enforcing a total mandate. This strategy acknowledges that the labor-intensive era of IT growth is changing. The company is betting that flexibility will lead to higher productivity as it integrates more AI-driven processes into its service delivery.