Is It Unethical for IT Companies to Change Job Offers After Hiring? Let's Discuss

Hello Friends/Seniors,

I am working for one of the reputed IT companies. I am also pursuing a part-time MBA in HR. In the organization where I am working, I have observed many illegal practices, which I would rather call unethical. For example, our company selected a person as a Visa coordinator. This individual had previously worked in a good IT company on a permanent basis. The offer given to him was for a permanent job, but on his joining day, he was informed that the vacancy no longer existed, and he had to work on a contract basis.

Isn't this absolutely unethical? There are many such instances where, sometimes, after joining, the company reduces the CTC from what they had offered in the candidate's offer letter.

What are your comments on this?

Thanks & Regards,
Yogita

Hi Yogita,

I agree. This is an illegal and unethical practice. He can take the company to court, win the case, and get compensated for the same.

How, after issuing him a full-time (regular) appointment letter, can they then ask him to work on a contract basis is beyond my comprehension.

Again, a reduction in salary/perks/benefits from the one agreed in writing (in the appointment letter) is illegal. The company cannot do so even on performance grounds or due to job redundancies.

Rahul 09968270580

I agree it's unethical and, as per labor laws, illegal as you cannot decrease the salary even if you demote. In such situations, there are 2 options: 1. to fight it out 2. To look for another job ASAP and leave the organization. Well... there is a third option, keep quiet and lump it. We cannot control an organization; however, we can control our thoughts and destiny. In any situation, we always have a choice.

Let me share a related example.

At one of my client sites, owners do not believe in paying even managers handsomely. The raise may be as small as 24k annually. Now the managers have found a better option: Please note all of them are very happy, the least paid, i.e., 20k, comes in a new wagon r. They make plenty of money in ordinary processes, e.g., for a factory license, they arrange for 1000, show a bill for 15k. Managers fix commission per contract workers too.

Now the bottom line is "Everyone is happy."

Surya