Employee Union Demands Labour Ministry To Take Action On Wipro’s Unfair Policies, Freshers in Distress!

Employee Union Demands Labour Ministry To Take Action on Wipro’s Unfair Policies, Freshers in Distress!

HIGHLIGHTS

• One of India’s leading IT services providers, Wipro, has recently received negative media attention.
• Reports have emerged that the company is delaying the onboarding process for freshers and cutting salaries for new employees.
• This has caused outrage among employees, and their union has urged the Labour Ministry to intervene.

Wipro is a global IT services company headquartered in Bangalore, India. It has a significant presence in the US and Europe as well. The company has recently been in the headlines for several reasons, including its decision to sell its flagship business, Wipro Consumer Care and Lighting, to a Singapore-based firm.

However, the most recent controversy involves the company’s treatment of its employees. Reports have emerged that Wipro is delaying the onboarding process for freshers and cutting salaries for new employees. This has caused anger among employees, and their union has urged the Labour Ministry to intervene.

Wipro’s onboarding delays and salary cuts for freshmen have been brought up in a letter sent by the Nascent Information Technology Employees Senate (NITES), a labour organization representing people who work in information technology, to Bhupender Yadav, Union Minister of State for Labour and Employment. It urged that the offer letter’s conditions and the contract’s provisions be broken and that the labour department step in and take the appropriate action.

Students in the “Elite” and “Turbo” divisions of the company received awards of Rs. 3.5 lakh and Rs. 6.5 lakh per annum (LPA), respectively. Certain Elite applicants could increase their talents through the company’s Velocity programme. But this week, it extended an invitation to several Turbo candidates to accept a position of Rs 3.5 LPA through which they would be hired in March.

Wipro could not give students a timeline for when they would be onboarded, but they might decline to do so, and the offer would still stand. It was reported in a letter from NITES President Harpreet Singh Saluja to have occurred between September 2021 and January 2022, when students were allegedly offered jobs.

In February 2022, the business told workers that they could either pay Rs 30,000 to 40,000 for training or participate in a three-month unpaid internship and training programme named Velocity. The unpaid internship lasted from the end of March or the beginning of April 2022 until the end of July 2022. The joining or onboarding date for this personnel, initially planned to occur in August 2022, was repeatedly postponed by the firm, according to the letter.

The wage reduction proposal is unethical and “clearly violates the conditions of the offer letter and is a breach of contract,” according to NITES. “The offer letter, which contains the terms and conditions of the job offer, is a legally binding document.

The corporation has made a commitment to the employee, and any alterations to that commitment should only be made with their mutual agreement. The corporation is attempting to impose a pay reduction on the employees in this case even though they have not provided their approval,” it continued.

He said that employees and students turned down job offers from other organizations in favour of sticking with Wipro. Still, the corporation hasn’t offered them a penny even though they’ve “devoted their time & power for a year to the company.”

The letter said, “we are concerned that this could set a dangerous precedent for other corporations to follow, which could lead to worker abuse and a lack of job security.”

Onboarding Delays

The onboarding process is a critical step for any new employee. It involves the company familiarizing the new employee with its policies, procedures, and culture. The onboarding process also helps the new employee settle into their role and become productive as soon as possible.

However, reports suggest that Wipro has been delaying the onboarding process for freshers. This delay has been causing anxiety and stress among new employees who are uncertain about their future with the company. It has also resulted in speculation about the company’s financial health and whether it is experiencing financial difficulties.

The organization has been implementing Wipro’s onboarding in steps for several months. However, the decision to offer employment to Turbo candidates that Elite candidates are also qualified for has not been well received by these candidates, who wonder why they could not be hired when these positions were initially available.

Salary Cuts for Freshers

In addition to the delay in onboarding, reports have also emerged that Wipro is cutting salaries for new employees. This has caused outrage among employees, many of whom have taken to social media to express their displeasure.

The salary cuts are significant, with some employees reporting cuts of up to 50%. This has caused financial hardship for many employees, particularly those who have taken out loans or have other financial obligations.

The reason behind the salary cuts needs to be clarified. Some reports suggest that the company is trying to reduce its costs in response to the COVID-19 pandemic. Others speculate that the salary cuts are part of a broader restructuring plan.

The Response

In response to these issues, the employee union of Wipro has urged the Labour Ministry to intervene and ensure that the company follows all the relevant labour laws and regulations. The union has also demanded that the company pay the new hires their total salaries and provide them with adequate training and support during the onboarding process.

All employees, regardless of their level of experience, have the right to be paid on time and receive the salary promised during the recruitment process. Moreover, in the case of freshers, it is important for companies to provide them with the necessary training and support to help them adjust to the new work environment and perform their duties effectively. By cutting salaries and delaying onboarding, companies are not only violating the rights of their employees but also risking their own reputation and future growth prospects.

Implications

The delay in onboarding and salary cuts could have significant implications for Wipro and its employees. The delay in onboarding could lead to a shortage of skilled workers, which could hamper the company’s growth. It could also lead to talented employees seeking opportunities elsewhere, which could further exacerbate the talent shortage.

The salary cuts could lead to low morale among employees and could affect their productivity. It could also lead to a brain drain, with talented employees leaving the company in search of better-paying jobs. The situation could also have implications for India’s broader IT services industry. If other companies follow Wipro’s lead and delay onboarding and cut salaries, it could lead to a talent shortage and affect the industry’s growth.

Conclusion

Wipro is facing criticism from its employees’ union for onboarding delays and salary cuts for freshers. The union has called upon the Labor Ministry to intervene in the matter and ensure that the company treats its employees fairly.

Delayed onboarding and salary cuts can have a significant impact on the financial stability of new hires. The employee union has highlighted the need for Wipro to prioritize the welfare of its employees and ensure that they are treated fairly.

The Labor Ministry has an important role to play in ensuring that companies comply with labour laws and regulations and that employees are treated fairly. It can investigate complaints and take action against companies that violate labour laws and regulations.

In the case of Wipro, the employee union has called upon the Labor Ministry to investigate the company’s onboarding delays and salary cuts and take appropriate action to ensure that employees are treated fairly.

Edited by Prakriti Arora