Infosys has been fined €175,000 by a French labour authority after its employee working time recording system was found to be non-compliant with local legal requirements. The penalty relates to deficiencies in the system's ability to accurately record and monitor working hours for certain employees.
Despite the regulatory action, the Indian IT giant said the development will have no material impact on its financials, operations or business.
In an exchange filing dated July 25, 2026, Infosys said it had received a communication from DRIEETS Île-de-France regarding the collection of the penalty.
According to the filing, the French authority found that Infosys' working time recording system did not fully comply with French legal requirements.
The regulator said the system had shortcomings related to its reliability, auditability and monitoring capabilities for certain categories of employees. Following its assessment, the authority passed orders imposing a total fine of €175,000 on the company.
Infosys did not disclose which employee categories were covered by the findings or whether the regulator had directed the company to modify its time recording system.
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Infosys clarified that the penalty will not have any material impact on its business. The company said there is no material impact on its financials, operations or other activities, indicating that the fine is not significant enough to affect its performance.
The company also explained why the disclosure was not made immediately after receiving the communication. It said it first needed time to verify the information and determine the appropriate course of action.
While the French labour authority has imposed the €175,000 penalty over compliance issues in the company's working time recording system, Infosys has maintained that the matter does not materially affect its business or financial position.
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