News: Cognizant, Accenture and Caspex face lawsuits


Cognizant, Accenture and Caspex face lawsuits

In light of long working hours and poor incentives, the Forum Against Corruption along with three Hyderabad-based employees have filed a case against the three IT companies.
Cognizant, Accenture and Caspex face lawsuits

Indian IT industry is undergoing a lot of pressure from employees because of work-related exploitation. The Forum Against Corruption and three Hyderabad-based employees have filed a case against Cognizant, Accenture, and Caspex Corporation claiming that these IT giants bring about an enhancement in the work culture and bring an end to employees exploitation. 

The Public Interest Litigation claims that the companies provide poor incentives, bad leave policy and long working hours. 

IT sector employees have historically been the ones who have had to deal with global clients and put in extra shifts. In some cities, the commute can go up to 4-5 hours long. The PIL cites these reasons for the lawsuit against the companies. 

Companies cannot ask employees to work for more than eight hours a day and over time can be taken up to six hours a day, according to the Telangana Shops and Establishments Act, 1988. The Telangana High Court has directed the IT firms to reply to the PIL within a month. The Telangana state government can only fine the IT companies upto Rs. 100 if they were to break a law. 

As Cognizant undergoes a widespread restructuring program under the new CEO Brian Humphries, the company is getting ready for another round of layoffs which is expected to go up to a few hundred. 

The firm had also offered 300 top executives voluntary separation in order to keep its pyramid lean. 

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Topics: Culture, #Jobs

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