Govt Says No Layoffs, Salary Cuts As Businesses Bear Brunt Of Coronavirus Lockdowns

Govt Says No Layoffs, Salary Cuts As Businesses Bear Brunt Of Coronavirus Lockdowns

SUMMARY

Employers of the public and private companies advised not to terminate employee contracts

Similar rules have been put in place for government employees too

Over 70K firms have submitted Covid-19 readiness form with consumer affairs ministry

As the country goes into lockdown due to the spread of coronavirus and Covid-19, the government has now advised private and public companies against salary cuts or layoffs during the pandemic. Further, at present, 70K companies have expressed readiness to deal with the coronavirus.

In a notification, the ministry of labour and employment said that all employers of the public/private establishments are advised not to terminate their employees, especially casual or contractual workers, or reduce their wages. The ministry said that there may be incidents where services of employees or workers may be dispensed with on the pretext of the disease or employees may be forced to go on leave without pay.

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