Infosys becomes the first Indian IT major to pull out of Russia, announces $1 million humanitarian aid fund

• Infosys has become the first Indian IT major to pull out of Russia.
  
• The Salil Parekh-led company also announced a $1 million humanitarian aid fund.
  
• Infosys made the announcement during an investor call following the declaration of its FY21-22 results today.
  

Infosys is pulling out of Russia and ceasing its operations in the country, the company’s chief executive officer Salil Parekh said today during the company’s $4 for the three months, and year ended March 2022.

“We have started to transition all of our work from our centres in Russia to our centres outside Russia. We have less than 100 employees in Russia,” said Parekh during the investor call.

“We work with no Russian clients and the work we do [there] is with a small number of global clients in Russia,” he further added.

This makes Infosys the first Indian information technology (IT) major to pull out of Russia, amidst growing calls and pressure on India and Indian companies to cease business with the Vladimir Putin-led country.

‘No plans to do business’ with Russian clients

In what also comes across as a rather bold announcement, Parekh said, “We don’t have any plans going ahead,” with respect to doing business with Russian clients.

The ongoing Russia-Ukraine war has seen mounting pressure from the West on India and Indian businesses to cut, or limit their ties with Russia, at least until the Putin-led government ends its hostilities against Ukraine.

Infosys announces $1 million in humanitarian aid

Apart from this, Parekh also revealed that Infosys has launched a $1 million fund to cater to the humanitarian needs in the region.

In addition to this, Parekh also outlined that Infosys is providing assistance like re-skilling of individuals who have been displaced as a result of the pullout. This also includes exploring possibilities of identifying relocation opportunities for these individuals in eastern Europe, Parekh added.

‘No impact within our business’

Parekh also underlined that the Russian pull-out has “no impact” on Infosys, as far as the company’s business is concerned.

Parekh justified this by stating that the business that Infosys does conduct in Russia – or used to – was with respect to a small number of global clients. Since no Russian clients are involved, it is possible that the pullout has been easier.

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