Moonlighting in Indian IT ????

Moonlighting in Indian IT ????

Hell broke loose after Wipro chairman Rishad Premji took to Twitter and?said?there are a lot of talks about people 'moonlighting' in the tech industry. "This is cheating, plain and simple,' he added.?

This tweet by the Wipro chairman triggered a fierce debate at a time when the Indian IT sector is dealing with?unprecedented attrition and a talent crunch.?

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On the contrary, Tech Mahindra chief CP Gurnani?said?that the issue was 'not rampant.' However, he said that the company would probably look into developing a policy allowing employees to pursue more than one job.

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Tech Mahindra is probably one of the few IT companies to have?witnessed a decline in attrition, noting a 2 per cent decline compared to the previous quarter. But, their attrition rate is still higher than FY22 Q1, which stood at 17 per cent. Incidentally, Wipro also saw a 0.5 per cent decline in attrition compared to the previous quarter. So, hopefully, the 'moonlighting policy' could further help Indian IT reduce the attrition rate in the coming quarter.?

What the M???

Moonlighting, or working multiple jobs, is not a new concept. As per a survey by Kotak Institutional Equities, nearly 65 per cent of IT employees know someone who is pursuing part-time opportunities or moonlighting while working a full-time job.?

As the name suggests, moonlighting refers to the practice of working a second job that very often gets done at night under the light of the moon or outside normal business hours. For instance, an employee may work a normal 9-to-5 job as a primary source of income and work nights at a different job or side hustle to earn extra income, or explore creative endeavours, like creating YouTube content, making podcasts, curating blog posts, playing music at a club, etc.?

Why Moonlighting Policy??

This development comes after food-tech startup Swiggy recently came up with a '?Moonlighting Policy,' which allows its employees to take on multiple jobs in their free time for an 'economic consideration.' One of the primary factors behind Swiggy's decision to announce the 'Moonlight Policy' was to tackle?attrition. Employee-centric policies are expected to help companies reduce their attrition rates.

Industry experts believe that it is high time companies started taking a cue from this and have a proactive approach to moonlighting, where they can set performance expectations, draft a policy that protects confidential information, define conflict of interest, tell employees where the company draws the red line, etc.?

Most importantly, having a moonlighting policy helps employers more than employees because if they breach, they can terminate employment and take necessary legal action. Also, allowing employees to moonlight helps a company project itself as a progressive workplace. For employees, having a policy in place helps get a clearer understanding of their terms of appointment.?

Former director of Infosys TVS Mohandas Pai?said?that employees are bound by an employment agreement and its terms but, apart from that, are free to do what they want as long as they are not using the company's IP (Intellectual Property); its assets or anything else. Further, he said that companies need to ask employees the reason for moonlighting in the first place. Pai said the fresher compensation had not changed much in the last ten years.?

Currently, most IT companies do not use the word 'moonlighting.' Still, the?contract?warns of strict action against employees pursuing freelance gigs while employed within the company.?

This is also a reminder for the government to formulate a proper 'Moonlighting policy' in India's Labour Code, where it recently adopted the provision for a?four-day workweek, but it is also time to incorporate the idea of having multiple jobs, giving it a legal structure, alongside defining the rules and norms.?


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