Centre will look into TCS job cuts: Law Minister
The Centre on Friday assured the Rajya Sabha that it will look into alleged job cuts in Tata Consultancy Services (TCS). Law Minister Sadananda Gowda said the Centre has taken note of reports on the matter.
CPI(M) members in the House raised the matter during Zero Hour, saying TCS has been illegally terminating thousands of its employees with no concern for procedures and employee rights.
Quoting media reports, party MP KN Balagopal said around 25,000 of the IT giant’s senior level employees would be affected. “The following week saw employees of 10-15 years of experience being sacked on a massive scale in the name of ‘restructuring’. When asked for an explanation, the organisation offered no special importance to the terminations and maintained that the move was part of ‘workforce restructuring’,” he alleged.
Balagopal claimed that thousands of employees have been sacked suddenly and thrown out of office, leaving them with no buffer time to search for new jobs. “There are no clear legal mandates to be followed by the IT firms with respect to employee rights.
“There are no monitoring mechanisms from the government side to check these terminations,” he added.
“Employees face a bleak future. This is not only in TCS. This is not only in IT,” he said adding that this was being done by “all new-generation employers”.
Responding to the Opposition concerns, Law Minister Sadananda Gowda promised to look into the issue.
Balagopal said even after the District Labour Office of Tiruchi issued a notice to the company on the matter, no one from TCS appeared. Noting that such termination is “highly inhuman and illegal”, he said the government should evolve proper mechanism to address the new generation employers.
His party colleague P Rajeeve said, “this is a new trend. They terminate people with ten-year experience and recruit new ones in their place to pay low salary.”
Another CPI-M leader Tapan Kumar Sen said this was happening in TCS even as the company earned the highest growth among all IT companies.
“This kind of retrenchment is happening on a ‘last come, first go’ basis… Do not promote these things in the name of promoting ease of business,” Sen said seeking the government’s intervention into the matter.
As members raised concerns, Deputy Chairman P J Kurien asked “are these companies exempt” from rules and shared the concern of the members.
At this, Law Minister Gowda said,”I have taken note of it. I will look into it.”
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