The massive retrenchment of employees in e-commerce major Snapdeal is yet another instance of how time and again, employees are forced to bear the brunt of every crisis in the IT industry and pay for the choices and decisions made by owners. Nearly 70 -80% of the employees of the company are set to be retrenched without notice on one month’s salary and one month’s severance package. Just a few months ago, the employees had been promised three months severance pay, according to media reports. The company has retrenched as many as 600 employees earlier this year.
The decision comes in the aftermath of the collapse of discussions between Snapdeal and Flipkart over an acquisition deal and is part of a plan to revamp the company that is being called Snapdeal 2.0. It is worth noting of course that while the owners of Snapdeal look at new ways to restructure their company and improve profits, the lives of hundreds of employees who have put in years of effort for its growth are now at risk. This is yet another instance of how the moment a crisis hits the industry, its simplest way to deal with it seems to be throw the employees under the bus. These repeated instances call for greater governmental intervention and regulation of the industry that has benefited from a variety of subsidies from various agencies over the years.
The IT Professionals Welfare Association demands that the retrenched process be halted immediately and the company enter into talks with employees’ representatives on the way forward for the company and the employees and arrive at solutions that protect the livelihoods and security of employees. ITPWA offers all possible help the affected employees, including in taking legal action against the company that has treated them in such a condemnable manner.
IT Professionals Welfare Association(NCR) calls upon the employees in Snapdeal not to be cowed by the threat of Retrenchments by its management. Any employee facing the threat of Retrenchment or layoff can call us on 9971855905, ITPWA is an association of by and for IT professionals and their welfare. We call upon all associates in IT and ITES industries to stand in Solidarity.