Home News Tech Mahindra’s salary cut down for 13000 employees

Tech Mahindra’s salary cut down for 13000 employees

by Dhivya Manick

The massive global killer CORONA virus triggered a forced lockdown for the whole world. The people of developing countries like India are likely to suffer more in the present and in the near future due to this lengthy lockdown. The Tech Mahindra has issued a notice to their employees regarding the salary cut down of 13000 employees in Pune. The non-profit organization National Information Technology Employees Senate (NITES) filed a complaint regarding this to the Maharashtra labor commission. Maharashtra labor commission also issued a notice to Tech Mahindra.

salary cut down

Salary cut down

The Tech Mahindra highlighted the reason that the salary cut down is due to the transformational change happening in the business. As a part of this the company says that it is cutting down the shift allowance and holiday allowance from employees salaries. The allowances contribute around 5000-10000 in the salary will be cut down from May 1.

Tech Mahindra's salary cut down for 13000 employees

source : https://trak.in/tags/business/2020/05/09/govt-issues-notice-against-tech-mahindra-for-cutting-salaries-upto-rs-10000-for-13000-employees-during-lockdown/

NITES to Labor commission

The National Information Technology Employees Senate (NITES) drafted a letter to the Maharashtra labor commission regarding this issue. In the letter NITES mentioned that they received complaints from the Tech Mahindra employees regarding this issue. In that the employees also stated that the company promised at the time of joining that they will be getting an extra amount if they accept 24*5 shifts.
The president of NITES also said that Tech Mahindra is violating the rules in which no company has the authority to cut down salaries or terminate their employees. This step by Tech Mahindra will affect 13000 employees in Pune and 131000 employees all over India.

Response from labor commission

Taking into consideration the complaint filed by NITES to Labor commission, assistant labor commissioner Nikhil Walke said that the company should return the deducted amount to the employees. The labor commission also added that the companies in this time should consider the welfare of the employees because they are the pillars of their profit.

Tech Mahindra’s response

Considering the issue raised against the Tech Mahindra it responded that they are paying for the employees still coming to work and it also added that it is a developing story.
Not alone in IT employees there are employees in many sectors who are in the fear of losing the job. The Government should create an effective strategy to address this issue currently and in the future.

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