Facing Layoffs for Cost-Cutting: Do Employees Have Rights to Extra Benefits?

vikranthred
Hi, my company is about to lay off 2,000 employees all over India. As per my information, the layoff list contains the names of employees with good performance compared to those of non-listed employees. If the company lays off employees without a legitimate reason, do the employees have any right to claim additional benefits? I have learned that if the company lays off employees without a proper reason just for cost-cutting, then the company has to pay an additional amount depending on the employee's working tenure. I would appreciate your suggestions on this matter.

Regards.
Dinesh Divekar
You have not mentioned the type of industry you are in. Are you a unionized company? If not, then find out whether you can form a labor union. If you form a union, it would become easier to claim retrenchment benefits under the provisions of the Industrial Disputes Act, 1947.

Thanks,

Dinesh Divekar
If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute