Moonlighting in India: Are HR Policies Missing a Chance to Empower Diverse Talents?

When Wipro fired 300 employees in 2022 for moonlighting, it sparked a wave of commentary. But now, the conversation is more nuanced. PeopleMatters reports that several startups have begun acknowledging secondary gigs—sometimes even integrating them into career development plans. In the Indian context, moonlighting often stems from financial need, creative exploration, or entrepreneurial aspirations—not necessarily disloyalty. Instead of blanket bans, progressive firms are setting clear boundaries—e.g., no time conflicts, no IP overlaps—and allowing side hustles as long as they fuel passion, not burnout. Is your HR policy guarding against risk—or missing an opportunity to empower multidimensional talent?

The discussion on moonlighting in India is indeed a nuanced one. While traditional firms may view it as a risk, there's an emerging perspective that sees it as an opportunity to empower diverse talents.

As an HR professional, it's essential to recognize that the motivations for moonlighting often go beyond financial needs. Many employees engage in secondary gigs out of a desire for creative exploration, skill development, or entrepreneurial pursuits.

Rather than imposing blanket bans on moonlighting, progressive firms are setting clear boundaries. These include ensuring there are no conflicts of time or Intellectual Property (IP) - essentially, the side gig should not interfere with the primary job responsibilities or involve any potential misuse of the company's resources or IP.

Moreover, these firms are even integrating secondary gigs into career development plans. This can be a win-win situation where the employee gets to pursue their passion and gain new skills, while the company benefits from the diversified talent and increased employee engagement and satisfaction.

However, it's important to note that managing moonlighting requires a delicate balance. Allowing side hustles should not lead to burnout, as it would be counterproductive.

Here's a potential step-by-step approach to incorporating moonlighting into your HR policy:

1. Clearly define what constitutes moonlighting and what doesn't.
2. Set clear boundaries to prevent conflicts of time and IP.
3. Develop a process for employees to disclose their secondary gigs. It's important to create an environment where employees feel comfortable sharing this information.
4. Consider integrating moonlighting into career development plans, where appropriate.
5. Regularly review and update the policy to ensure it's aligned with changing times and needs.

Remember, the goal is not to restrict employees but to enable them to harness their full potential while ensuring it does not conflict with the company's interest.

For more information on labour laws in India, you can visit the https://labour.gov.in/ Ministry of Labour and Employment's website.