Indian Government will probe the series of resignations at Amazon
- ByStartupStory | November 28, 2022
The labour ministry has confirmed that they be will setting up an inquiry to find out whether the recent series of resignations at Amazon India included layoffs that were in violation of labour laws or terms of service. The inquiry will investigate if the people involved in these layoffs were aware of the development. The ministry had sent a notice to Amazon India last week after a complaint for mass layoffs was filed in violation of laws made to labour minister Bhupender Yadav by the Nascent Information Technology Employees’ Senate (NITES), a collective of IT professionals that has over 18,000 members.
Amazon India management responded by saying that no employee had been fired and some staff had resigned after accepting the e-commerce firm’s “voluntary separation programme”. The company in its internal communication to employees had stated that those who do not opt for the voluntary separation programme will be retrenched without any benefits under a “workforce optimisation programme”, according to Harpreet Singh Saluja, president of NITES, which has alleged violation of labour laws.
Amazon is going ahead with its plan to lay off approximately 10,000 people in corporate and technology jobs globally, starting last week. This would be the largest job cuts in the company’s history, according to many reports. The resignations at Amazon India are being seen as a part of the e-commerce giant’s reduction of its global workforce.
“In its response (to the labour ministry), the company said that they had expected to make more money through their business, but owing to financial expedience, they floated a voluntary exit programme. They said there were no forced layoffs. However, we will be examining whether the exits were voluntary and if the terms of services, which includes severance and notice period, were adhered to,” a ministry official said.
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