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Sunday, September 30, 2007

Does a Union in IT make sense

There are labour unions and trade unions across various sectors in India (ranging from banks to heavy industries), but there is no such (significant) “Union” for IT / ITES so far.

One of the reasons given by experts is that the other industries which have labour unions are labour intensive, whereas in the IT industry, the workers are not labours but “engineers”, who are capable of taking care of their interests, and do not need a Union for that.

Moreover, none of the IT companies promote or support the existence of any such unions which could disrupt the smooth functioning of the company (considering how time critical the projects in IT are)

So far so good

Just another dimension… consider the rate at which the industry is growing, and the number of people (especially at the bottom of pyramid) joining these companies… consider the contract agreements signed by employees etc. Till the business is going good, there does not seem to be any reason to worry. This depends on global factors… But, in a scenario when there is a downturn in the industry, there is no framework that can support the interests of the employees… will union be of any help here??

1 Comments:

Anonymous Anonymous said...

Very important question you have raised, Bhavin..
I have also wondered about the lack of a decent Union for the workers in the IT sector.. Granted that the technicians in the IT sector are well-paid and well-qualified to protect their own interests. I know the Industry big-wigs will not entertain the idea of the IT and ITES industry techies forming a representative Union.. I wonder if an active Union would help prevent a crisis like the IT slump that struck the world at the start of this century..
The highly privatised and rampant and unchecked 'outsourcing' that drives the world IT industry has turned the techie into a kind of 'mercenary'.. Available to work anywhere for any company for any assignment for the right price.. Another trend pointing to this development is the high attrition rate within the IT industry, especially in India..
Please do correct me if I am wrong..

6:22 AM  

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