Tech Mahindra gets notice from labour office over ‘pay cuts’

IT outsourcer Tech Mahindra has allegedly received a notice from the Pune labour commissioner for the complaints that it has suspended shift allowances to its India-based workers.

According to a report, Tech Mahindra is the latest among many tech firms, including Wipro and Amdocs, that has received notices from the labour commissioner after complaints from National Information Technology Employees Sena (Nites).

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The Pune-based union has said that Tech Mahindra’s decision to reduce compensation effective. May violates a central government order not to cut salaries or lay off people during the lockdown, the publication stated.

“The shift allowance paid for hardship because of travel to work at odd hours and other out-of-pocket expenses continues to be paid to all Tech Mahindra associates who are coming to office or are at client locations as per policy,” shared the worker.

Last week, Nites had filed a complaint against Wipro for allegedly benching about 300 employees and minimising their salaries. “We have not issued a show-cause notice to the company (Wipro), just forwarded a copy of the complaint against them and asked them to respond,” Vikas Panvelkar, deputy commissioner of labour, Maharashtra shared. “We need both sides of the issue.”

Wipro denied the allegation. “There are no salary cuts for employees who are in between projects and are awaiting new assignments,” the company said in a statement.