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Regulations Need Transformation to Accommodate Moonlighting as Until Then, Pro and Anti Tussle Will Continue On Both Sides Unabated
Regulations Need Transformation to Accommodate Moonlighting as Until Then, Pro and Anti Tussle Will Continue On Both Sides Unabated
Original publication: 2022-10-28 06:12:02
Regulations Need Transformation to Accommodate Moonlighting as Until Then, Pro and Anti Tussle Will Continue On Both Sides Unabated
Karma Management Global Consulting Solutions Pvt. Ltd. one of the top 5 consultancy firms, was established in the year 2004, with headquarters in the business district of Santacruz East, Mumbai, India, and full-scale operation in all the States having about 200 direct and indirect staff on its roll is a leading service provider for payroll and payroll compliances, outsourcing, facility services, HR services, Training & Development, Recruitment & Talent Acquisition, Legal and Para legal services, Disputes and Litigation Handling, Inspection Management and Liaisoning, Advisory Services, Social, Environment and Vendor Audits, Regulatory compliances ad Governance. Compliance with labour and employment laws has become one of the most important issues that many establishments in India have to deal with. Many employment disputes result in litigation. Karma is an Indian HR, Payroll, and Compliance firm advising clients worldwide on local, regional and global regulatory compliances in relation to their business goals, business strategies, and resolving disputes. It gives valuable suggestions and advice to corporates, investors, institutions, contractors, establishments, industries, etc. on the need for lowering employment risk across all levels and adhering to the laws of the land. It has a lot of expertise on employment-related compliance issues, as well as day-to-day support for the human resource department and in-house counsels. Karma is also into employment agreements and policies, structuring of compensation and benefits, employment aspects of mergers and takeovers, etc. Karma’s force, strength, and reach have brought in tremendous change over from its earlier image of being a consultancy firm in the period of 2000, to now embarking on setting practices abroad in highly regulated markets and competing in the global arena. With India overtaking the UK to emerge as the fifth largest economy in the world and setting to become the third largest by2029, Karma Global is all poised for long-term value in terms of client outreach and giving state-of-the-art technology and excellent services to global clients better than ever before, For the sake of good reading and understanding, let us take a look closely at whether the laws are capable of biting this new so-called phenomenon of covertly taking up additional work!! The Factories Act 1948 - The Factories Act 1948 u/s 60 prohibits dual employment. However, this is limited to factory workers and does not govern other sectors of employment. A.P. Shops Act Under the AP Shops Act, no employee is allowed to work in any establishment. In the case of full-time employment, the employee is generally expected not to take up work for another employer, including while they are serving their notice period for their existing employer. Delhi Shop Act Delhi Shop Act states that no person shall work for the business of an establishment or two or more establishments or an establishment and a factory for a period in excess of which he may lawfully be employed under the act. Bombay Shop Act, Bombay Shop Act, which provides in section 65 of the act that no employee shall work in any establishment, nor shall any employer knowingly permit an employee to extend services to another establishment on an off day as per the Act. Industrial Employment (Standing Orders) Act U/s 8 of schedule I-B the Industrial Employment (Standing Orders) Central Rules, 1946 states that a workman cannot by doing dual employment work against the interest of an industrial establishment. The draft model standing orders under the Industrial Relations (IR) Code contain a similar restriction; however, the employer may, at their discretion, permit the worker to take up an additional job or assignment with or without conditions. The above laws have limited application as they do not cover certain establishments and categories of employees. In India, there is no legal restriction on dual employment in certain States. However, in the absence of a specific legal prohibition, it is advisable to include such a restriction in the employment contract. Moonlight clauses are added to the employment agreement with the aim of ensuring the efficiency and focus of employees at their current employment. If the employment letter does not forbid dual employment and there is no non-compete clause, an employee can engage in moonlighting.New labour codes Indian laws do not define ‘moonlighting’. However, the laws mentioned below regulate dual or double employment to a certain extent.
Views of the Courts The Supreme Court, while deciding the eligibility of a LIC employee for the membership of a local authority, observed that the restriction is not on the candidature for election but on the nature of employment itself. The court further observed that if the employee participates in local administration or other elections, they may well have to forfeit their position as a government servant if handling two positions affects their efficiency. They might also be subject to disciplinary action. The High Court of Punjab and Haryana upheld the termination of employment of a driver who had engaged in dual employment. Moonlighting may also be coupled with other issues such as a conflict of interest, breach of confidentiality and/or proprietary information, competition, solicitation of co-employees or vendors, compromise of intellectual properties, and attrition. Dictionary meaning of Moonlighting The dictionary defines the term moonlighting as working clandestinely in a second job, typically at night. Moonlighting essentially means the pursuit of a job carried out by an employee of a company after his regular office hours. Is freelancing the other name for it This is not even Freelancing as freelancers work for many companies simultaneously and are not permanent employees of a certain company. Is the Pandemic the cause of moonlighting It evolved as an adjunct to the now-accepted norm of working from home (WFH). The pandemic became the trigger both for WFH as well as work from literally anywhere. Young professionals shifted base to beaches and mountains from where they were able to conduct their work activities without a hiccup. Along with this change of location, they found they could also juggle several assignments or projects from different corporates with the same seamless ease. Who says cheating and two-timing, let us see!
- Wipro took the unprecedented step of sacking 300 employees for indulging in this activity.
- Wipro’s actions have sent tremors through India’s $227-billion information technology industry as the debate rages over whether this is the right response to the issue
- On September 16, Infosys sent an email to its employees, reminding them that they were not allowed to hold dual employment
- Tech Mahindra, a mid-sized IT firm, has said, it may consider framing a policy that allows dual employment, as long as “someone is meeting the efficiency and productivity norms.”