Govt Issues Notice To KPIT (Cummins) For Cutting Upto 25% Salary Of 200+ Employees In Pune

Govt Issues Notice To KPIT (Cummins) For Cutting Upto 25% Salary Of 200+ Employees In Pune?
Govt Issues Notice To KPIT (Cummins) For Cutting Upto 25% Salary Of 200+ Employees In Pune?

In a shocking revelation, it has been found that Govt has issued a stern notice to KPIT Technologies Limited (formerly KPIT Cummins Infosystems Ltd) , for deducting salaries of 200+ employees in Pune.

Cummins is one of the oldest, and most reputed companies in Pune, and provides tech and IT solutions for automobile companies, across the world.

Labor Commissioner office in Pune has issued the notice to KPIT based on a complaint filed by National Information Technology Employees Senate (NITES).

What exactly has happened here?

KPIT Deducts Upto 25% Salary Of Employees

Due to the coronavirus impact on business, KPIT recently informed their employees that they will have to accept reduced salaries from May onwards.

Kishor Patil, who is the co-founder of KPIT informed this via email to all employees, a copy of which we have received.

In the mail, Mr. Kishor informs that there will be two slabs for salary reduction

While employees under Grade A and B will receive reduced salary of 20%, Grade E and F employees will receive salaries reduced by 25%.

Besides, Rs 15,000 has been set as the minimum assured salary of all full time and part-time employees.

And all promotions and increments have been postponed till July. There are overall 7000+ employees with KPIT.

Here is the email:

KPIT is deducting salaries of 200 employees
KPIT is deducting salaries of 200 employees

NITES Files Complaint

After this email, several employees complained to National Information Technology Employees Senate (NITES), which is a non-profit organization dedicated to help IT employees, across India. 

NITES immedietely shot a letter to the Labor Commissioner, stating that the company is violating Govt orders related to the salaries of IT employees, as issued on March 31, 2020.

In the letter, NITES said, “National Information Employees Senate – NITES demands strict action against KPIT Technologies Ltd, Hinjewadi, PUNE as the organization has failed to follow basic policies of Human Rights and violated Maharashtra state government’s rule and regulation. We expect state/central government authorities to update us with a framework to tackle such situation.”

Labor Commissioner Issues Notice To KPIT

Based on the complaint from NITES, Labor Commissioner office in Pune has issued a notice to KPIT, asking them to restore the salaries, or else face strict action.

On this, NITES General Secretary Harpreet Saluja said, “After we received several complaints against KPIT, we approached the Labor Commissioner, and filed a letter condemning this action by KPIT. Employees have worked for years with this company, serving them with their sweat and blood. And now, during a crisis, how can the company treat employees this way? Grossly unfair, and unethical. We will keep pursuing this case, until the employees get justice.”

Mr. Vivek Mestri, Initiator and Founder President, National Information Technology Employees Senate-NITES said, “I condem the act of KPIT Technologies, Hinjewadi for reduction of Employees salary to maintain PROFITABILITY of their business even under COVID-19 epidemic is underway. This illegal act has violated Maharashtra state Government’s and even central government regulations commucated to all companies.

We, as National Information Employees Senate – NITES Maharashtra, has submitted complaint demanding prompt and strict action against this organization to Labour Commissioner, Pune and also related authorities to take strict measures against this KPIT Technologies and set an example to all other Information Technology organisations which will help to avoid insensitive behavior towards it’s sincere employees.”

This is a developing story, and we will keep you updated, as more details come in. 

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