HCL Is Illegally Recovering Bonus Paid To Employees: Complaint Sent To Govt By IT Union

HCL Is Illegally Recovering Bonus Paid To Employees: Complaint Sent To Govt By IT Union
HCL Is Illegally Recovering Bonus Paid To Employees: Complaint Sent To Govt By IT Union

Few days back, we had reported that India’s 3rd biggest IT company, HCL is forcing employees to return the bonus they have already received.

Those employees who have already resigned are being forced to return the advance variable pay, and this in our view, is grossly unjust, and unfair.

To stop this illegal recovery of bonus paid to employees by HCL, Nascent Information Technology Employees Senate (NITES) has sent a strong complaint to the Govt of India.

Keep reading to find out more..

Illegal Recovery Of Bonus By HCL: Complaint Sent To Labor Ministry

Due to HCL’s move to recover the bonus that has been already paid, employees are in distress, and they are in trouble. 

Several employees have complained to NITES, which is a prominent IT Employee Union based in Pune, with thousands of members.

Based on the distress call, and the complaints, Harpreet Saluja, President, Nascent Information Technology Employees Senate NITES has sent a complaint to the Labor Ministry.

Addressed to Shri Bhupender Yadav Ji, Hon’ble Minister of State for Labour & Employment, Ministry of Labour & Employment, Govt. of India, the letter by NITES President states: “Hence through this letter we are seeking your prompt intervention to issue necessary orders to stop the iniquitous, arbitrary and harsh recovery of bonus policy with immediate effect. It is our fervent hope that the welfare of employees & their

family members would be considered & given priority while taking decisions regarding the same.”

HCL Employees In Distress

The employees who have already resigned, and are serving notice period, are being forced to return the advance variable pay that was paid to them earlier. In some cases, upto Rs 1.5 lakh is being demanded by HCL, and in case they fail to return, then their experience certificates will be withheld.

Although their offer letters mention that in case any employee leaves the organization before completing their performance review period, the advance variable pay or the bonus can be ‘recovered’.

But NITES, in their letter to the Labor Ministry, has said that this entire clause to ‘recover’ the bonus is illegal, and violates several labor laws.

NITES said, “We have received multiple complaints from employees across India that the employer HCL Technologies Limited has initiated a policy to recover bonus paid to the employees. 

If the employee fails to pay the amount his/her experience certificate, relieving letter and other employment documents & benefits are withheld by the company. The said policy implemented by the company to recover bonus already paid to its employees forcefully is iniquitous, arbitrary and harsh. 

It is also to be noted that such a recovery policy without any statutory approval is resulting in a hardship and it far outweighs the equitable balance of the employer’s right to recover. It is almost impossible for an employee to bear the financial burden of a refund of payment of bonus received over a period of time under the current pandemic conditions. Hence the said recovery policy is in violation of article 14 of the Constitution of India. “

If a leading, and reputed IT company like HCL resorts to such measures in order to ‘recover’ the bonus paid, then it’s indeed alarming, and sad. 

We will keep you updated, as more details come in,

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