There are almost 4 lakh IT professionals in Tamil Nadu. And they are witnessing increasing job losses typically among middle and lower level managers and engineers. Trade unions, emboldened by the experience of the manufacturing sector, where powerful unions have often negotiated tough wage deals, are finding that whipping up a similar sentiment within the glass-walled IT offices is not so easy. Forum for IT Employees and the wing of the twenty-year-old NDLF are now leading the drive to build unions within technological areas. Although it was very difficult for whipping up the sentiment of union within the glass-walled IT offices, but Tamil Nadu has proved it.
Techies from this state will be the first in our country to form an IT union that will lobby for labor laws and women’s safety in Tamil Nadu. Currently, over 100 members’ strong Union was formed after the protest by the employees against tech-major Cognizant for laying them off.
Almost a week after employees complained against Cognizant for pink-slipping them, they are forming the union. Around 100-120 software professionals have signed up as the member of the union. The name of the union is “Forum for IT Employees, Tamil Nadu” will ensure women’s safety and will protect members’ rights by holding IT firms to labor laws, rules and regulations.
But, management of those IT firms is showing their irritation against the newly formed union. According to Mr. Mohandas Pai, one of the co-founders of Infosys, “Nobody is interested in joining the union. Remember IT business is not the local activity, 95% of the IT business comes from outside India”. But it is also true that around 1 lakhs employees are working in only 2 companies, Wipro and TCS, within thirteen centers of the state. Then how management can say that the percentage of the business through employees in India is very little compared to the non-IT business.
Tamil Nadu also clubs with neighboring states Karnataka and Andhra Pradesh. These states are the largest exporter of IT services. Last year, Tamil Nadu changed laws to allow trade unions in the IT sector after a few hundred employees were allegedly laid off by TCS in 2015. The union is in the view that massive campus recruitments and appropriate salary hikes in the sector. For nearly two decades, there was no need for unions. 15 % of the members have openly declared their supports to the union and the remaining has told the union to keep their name secret. In the current situation of recent years, automation and contract employment and artificial intelligence are making legacy skills redundant.
Broadly, companies, industry members, and investors are sharing their views that it is not the ideal way for any improvement. According to them, it will be the main reason for negative changes in the sector. And also, the creation of unions may act as a deterrent to further investment by the investors in the sector, what has been an attractive sector.
