Bjyu’s puts off layoffs in Kerala as, in a first for IT firm, state govt steps in

According to sources, this is the first time in Kerala that the labour department has cracked the whip on an IT firm, which had overnight served termination notices to 150-odd employees.

All employees at Byju’s Thiruvananthapuram centre were, on October 18, told to hand over resignation letters or face termination. With the firm having already announced a country-wide cut in staff, and faced with few options, a section of the employees submitted their resignation letters.

But, around 80 of them decided to fight back. They approached Prathidhwani, which has members in all IT parks across Kerala. The IT professionals welfare outfit petitioned Labour Minister V. Sivankutty, who in turn, referred the matter to the district labour office.

In the first round of discussions, the company representative did not turn up. The decision to reverse the closure plan was taken at a meeting held on Wednesday, attended by Byju’s vice-president Jayadev. In the discussion at the labour commissionerate, the management agreed that “In the interest of employees, they will give in writing regarding the minimum guarantee period for functioning of the unit in Thiruvananthapuram within two weeks, so that the employees can plan their careers accordingly.”

It was also decided that the management would reinstate employees who have resigned from the Technopark unit. Those who are unwilling to re-join the firm, will be given all benefits as per law and their respective experience certificates.

Sources in the labour department said Byju’s did not follow the laid-down norms while laying off the employees. As per norms, they should have been given a mandatory notice, as well as adequate compensation. “This is a message that in Kerala, all management should strictly adhere to existing labour laws and can’t shut down operations without considering the employees,” the sources said.

Prathidhwani secretary Vineeth Chandran, who took part in the discussions, said the welfare outfit has been active among IT professionals to impede the anti-employee stand of managements. “But this is the first time we could intervene in the closure of a unit employing 150-odd persons. We hope the decision taken in Kerala at the behest of the Labour Department, will have an impact elsewhere in the country where Byju’s has announced layoffs,” he said.

In a email sent to the employees, Byju’s has said, “I’m now happy to share with you that post the discussion of our founder and CEO Byju Raveendran with the Chief Minister of Kerala, we have decided to continue operations in the Thiruvananthapuram development centre. The Thiruvananthapuram team has done great work for us. You will continue in your current roles and work from the Thiruvananthapuram centre,” it said.