Date : 26 May, 2020
Post By Khushbo Aggarwal
There are several growing companies across the world either in the private sector or the public sector. Each bearing responsibilities of growth and development of not only of their own company but also it is their duty to look after the welfare and healthy development of their employers and employees simultaneously keeping in mind the welfare of the society as well.
Employer and Employee, they both are the two strong pillars of a company as well as plays an important role in society. But due to some global issues or any other reasons sometimes they have to face certain problems.
Currently, the COVID-19 pandemic is having a catastrophic effect on working hours and earnings, globally. In only a few months, the coronavirus pandemic has upended the daily lives of people around the world. This pandemic has altered the international workplace and international employee-employer relations in profound ways. As employees now work from home in significant numbers around the globe, multinational companies have suddenly been confronted with managing issues they may not have previously prioritized.
PROBLEM AND EFFECT
Ø PROBLEM
Employers should anticipate that they will periodically face epidemics and other biological threats such as this Covid19 or the coronavirus and take proactive steps to protect their employees and their organizations. "It's better to be prepared for something that doesn't happen than unprepared for something that does," says Michael Osterholm (CIDRAP).
Many impacted the economy and job security, lives and businesses which are put on hold. The economic disruption is likely to be long-lasting and profound, the disease is potentially deadly. Policy responses by governments are based on modelling the direct impacts of COVID-19 – but not other impacts to the well-being of the economy or society.
Ø EFFECT
Due to the global outbreak, these employees will lose their jobs and have extreme difficulties finding new ones. Though the government has instructed to the employees that they should remain indoors and work from home and they will get their pay and their salaries but many employees are concerned that they might lose their job or won’t get their complete salaries. In some of the cases, the employers has halfened the salaries of their employees and many are forced to leave the company.
Ø RESPONSIBILITY OF EMPLOYERS
At a time when the world is taken by the Covid-19 storm, the Indian Government, in order to contain the spread, morbidity, and mortality, declared a nationwide lockdown. The employers are guided by the government that they have to follow certain obligations and guidelines issued by the government. Such as:-
Salary and Hourly Reductions:-
Each employee’s pay rate, hours and tenure must be preserved and reinstated upon the employee’s return to work, the government instructed to all the companies and the employers. In the event of a reduction in salary and/or hours, the government is responsible for paying the Benefit to the employees either themselves or by the employers or whichever medium is suitable.
Employees who receive the Benefit still may receive unemployment insurance benefits so that it may insure their security. The amount of the Benefit that employees will receive is based upon the amount of unemployment insurance to which they are entitled so that their amount no such kind of injustice.
Suspension of Employment:-
Employers are required to preserve employees’ current pay rate, hours and tenure, and employees are entitled to all employer-provided benefits. If employees work during a suspension, including engaging in any telework, then the suspension will be deemed not to have occurred, and legal sanctions and fines may be imposed upon employers.
For employers whose income tax is calculated on the basis of actual income, financial support is deductible from the net revenue for purposes of calculating employers’ income tax.
Also, it was told that redundancy terminations are considered terminations without cause, and employers have the sole discretion to determine selection criteria and severance packages.
Use of Accrued, Unused Paid Leave:-
The government as per authorizes not only the use of accrued but unused paid leave for the employees, but also the use of holidays still being accrued, as well as holidays for which the accruing period has not even started.
Maintaining the Workforce:-
During the lockdown, the government issued the guidelines that employers should not reduce or stop salary payments or terminate employees. Similarly, employers may not reduce work hours and wages during the lockdown as per their suitability.
Employers, however, may temporarily halt non-statutory benefits and postpone incentives until the business normalizes, provided that such measures adhere to employers’ internal policies, employee handbook provisions and/or employment agreements. In addition, employers may defer or suspend bonuses and annual increments for employees, subject to some narrow exceptions.
Paid Leave:-
Employers are prohibited from requiring the employees to use paid time off during the lockdown. Employees, however, are entitled to use their accrued annual leave at their discretion and suitability, subject to internal policies. Employers cannot mandate that employees take unpaid leave.
Medical Checks:-
Employers may take steps to verify employee’s health, as long as such measures protect the health, safety and well-being of other employees to be taken care off. For example, they need to keep the medical check-ups for employees who have travelled internationally, if employers pursue such measures, they must ensure that they have systems in place to ensure that employees’ medical records remain confidential and secure. Employers should be mindful not to discriminate against employees by selecting employees for medical checks based upon race or nationality.
Sick Time for Employees with COVID-19:-
Certain state governments have issued notifications/orders requiring employers to grant 28 days of paid leave to employees who have been infected with COVID-19. Employers may encourage, but not require, employees who have contracted COVID-19 to use their accrued sick leave.
If necessary, employers may require COVID-19-positive employees to continue to take leave until such employees medically certify that they may return to work, during which time employers should continue to pay employees’ full wages and benefits.
CONCLUSION
During such problems worldwide faced by all the countries in the world due to COVID19 among them, India has imposed the broader employee protections that require employers to bear the heavy economic burden to support employees during the national lockdown. In response to the COVID-19 pandemic, the Indian government invoked special provisions of the Disaster Management Act, 2005 (the “DMA”) in Indian kanoon to implement a series of orders under the DMA (“Orders”) to impose a nationwide lockdown.
To counter the negative impact of the COVID-19 pandemic on India’s labour to counter the negative impact of the COVID-19 pandemic on India’s labour force, the Orders include strict directives for employers. The Orders prohibit employers from terminating any employees or contract labour during the lockdown, except for disciplinary reasons.
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hitesh gaba
Neha Goyal
Khushbu aggarwal
Gitanshi Arora