In favour of Publication
Press statement

On Joint Meeting Called by the Deputy Labour Commissioner between retrenched employees and TCS Management

Employees of TCS who were illegally and unethically retrenched from services in the recent past who have organised themselves into Welfare Association for IT employees (WAIT), accompanied by members from Forum of IT Professionals (www.forit.in), and legal advisor Parthasarathy and went for the discussion with the Deputy Labour Commissioner Shri Naresh Kumar. In response to the complaint filed with the labor commissioner against the illegal retrenchments, they were called for labour conciliatory meeting. The management of TCS was absent, employees have presented their case to the deputy labour commissioner. The commissioner responded positively and pronounced the initiation of conciliatory meetings. Deputy labour commissioner also acknowledged that IT doesn't have any exemption from the ID act.

The concerns raised were:
The company retrenched the employees in the most brutal and unethical way. In a certain cases the employees were asked to leave the very day of the notice being served. All the employees were not given an opportunity to raise their concerns and not even an audience when the employees wanted to raise their grievances there by denying them the principles of natural justice. A good number of the employees who have been retrenched were on projects allocated to them. All the employees were billable resources who were at-least being billed three times than what they were being paid. All the employees were at-least having 8+ years of experience and in tune to the Industrial Dispute act “Last come first go” is the principle that has to be followed which was gross violation on the part of TCS. TCS was discouraging some of these employees to shift technologies in the recent past when the employees raised with the Resource Management Group (RMG), as it would affect their billing since the experience gained in older technologies can't be shown in case of a shift in technology, there by limited their scope of acquaintance with new technologies. All the employees who have been retrenched were not under performers but rated as “meeting expectations” or above. Those who have received “Best Performer” award in the last quarter were also retrenched. The company has gone out in the media and termed those retrenched as non-performers which is a lie and has permanently attached stigma to their future prospects. The rating system followed was disputed as it was faulty. Employees on-site, are generally given a rating C/D, in-spite of exceptional performance in order to facilitate those onshore to get a better rating and there by get a better share of the Variable Pay. Employees were denied an audience when they have shown roles and vacancy positions in the company from the web portal. All these are blatant violation of laws of the land and denying them the principles of natural justice.

Forum of IT Professionals(www.forit.in) members Kiran Chandra and Siddhartha who were there raised more concerns asking the Joint labour commissioner to look in to the social isolation created by the TCS. When the Deputy Labour Commissioner has said the IT companies had exemptions from the Shops and Establishments act, they contested stating that IT companies, and governments in all their documentation refer them to be IT industry and not shops, even if they were to call themselves as shops it was erroneous to consider a workplace with 25000 workforce engaged in production of intangible products such as software to be called as a shop. They also disputed that if there were any exemptions they need to be done through a gazette notification and not through a government order. Hence the G.O issued has to be considered null and void. Apart from that as per the stated IT policy TCS has a social obligation of providing 65000 new jobs by now, however only 24000 + were created in Hyderabad. The state has given subsidies and concessions to the IT industry to provide sustainable employment. Hence the non compliance of the states IT policy also should be considered and thereby reinstating all the employees retrenched.