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Wipro received notice from Pune Labour Commission for benching employees

After reports emerged of Wipro benching nearly 300 of its employees, the Pune Labour Commission has sent a notice to Wipro. The notice states that necessary action should be taken by the Wipro regarding the situation, if not legal action will be taken against it.

The notice also says that the employer cannot reduce the salary of the employees or cannot terminate them during the lockdown. This has come after the National Information Technology Employee Senate has filed a petition with the commission on May 1

NITES has written a letter which says that they have received complaints about Wipro BPO Pune in regard to the benching of employees to maintain profits during the lockdown. The letter further states that this is a violation of the Maharashtra Government’s rule, which says that employees should not be impacted during the lockdown.

Almost all the IT/ITes companies have stated during their Q4 results that this quarter would be worse and canceled the guidance due to the lack of growth visibility. In these upcoming quarters, firms can expect pressure pricing, project deferrals, and demand drops. The companies have put hiring freezes to maintain the costs. The firms have also suspended promotions and hikes

Many of the analysts feel that with the current situation, the benching of employees is inevitable. New projects might also get deferred due to current situations. Employees also feel they might be laid off due to the fact that getting new projects by the firms would be very difficult and they have to pay the price for it.

However, Wipro has stated in an email that says that these are just allegations and denied them. Wipro also requested not to misinterpret the intracompany surveys that are undertaken at various times. The company also stressed that there are policies to protect its employees.

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