Expect No Mercy (1995) on Netflix

Federal Service Agent Justin Vanier has been assigned to infiltrate the mysterious Virtual Arts Academy in search of Eric, a fellow agent. In this high-tech facility, the maniacal leader Warbeck is training assassins to become even more efficient killing machines using virtual reality. Penetrating the organization as a new recruit, Justin finds Eric, and together with the idealistic Vicki must bring down Warbeck before he succeeds with his deadly plans.