As the Indian economy evolves at an impressive pace, so do the dynamics in the workplace. These are resulting in new trends taking shape in the realm of employment law and HR-related regulations. Leading organisations across the globe are already quickly adapting best practices such as mental wellness and recharge breaks, as well as taking an initiative on conversations around new age concepts such as remuneration in cryptocurrency.
With this background, I am happy to share the inaugural edition of Khaitan & Co's HR and Employment Law Pulse: Quarterly Round Up. Meticulously curated by legal experts from our Employment Labour and Benefits (ELB) practice, our latest newsletter highlights new and notable employment law and HR related trends and developments from India and around the world. We're also delighted to have a viewpoint from Dinesh Vijaykumar, Regional Counsel at IBM India and South Asia, on diverse work models, women's safety at the workplace and strategies to promote work life balance.
Global Trends
Australia Implements Right to Disconnect Law
On 26 August 2024, the Australian Government granted certain eligible employees the right to disconnect from work, under the Fair Work Act. The employees of establishments with 15 or more employees now have the right to ignore job related communications outside regular hours.
This includes contact (or attempted contact) from an employer or a third party. The law does not prohibit employers from contacting employees outside of regular hours, rather it grants the employees a right to refrain from responding, provided that their refusal is not considered unreasonable.
New Zealand Court of Appeal rules that Uber drivers are 'employees'
A New Zealand Court of appeal examined the nature and extent of control exercised by Uber over 4 of its drivers and ruled that the real nature of the relationship between Uber and these drivers was one of employment. However, at present, the decision is only applicable to the 4 Uber drivers in question.
UAE Court allows part payment of salary in Cryptocurrency
In August 2024, the Dubai Court of First Instance recognized that cryptocurrency is a valid and enforceable form of remuneration and ordered an employer to pay an employee a part of their wages in the form of tokens (which was permissible under the employee's employment contract).
EU adopts Corporate Sustainability Due Diligence Directive (CSDDD)
The EU formally adopted the CSDDD on 25 July 2024, which introduces the obligation for companies to conduct human rights and environmental due diligence with respect to: (i) their operations; (ii) their subsidiaries' operations; and (iii) the operations of their business partners in the company's chain of activities. In addition, the CSDDD sets out an obligation for large companies to adopt a transition plan for climate change mitigation.
The CSDDD will become applicable in a phased manner to large EU companies and certain prescribed non-EU companies operating in the EU subject to the fulfilment of criteria relating to turnover and employee headcount. Member States must transpose the CSDDD into national law within a period of 2 years.
Insights from India
Women's Workplace Safety
A spate of recent unfortunate incidents, particularly the tragic rape and murder of a doctor at the RG Kar Medical College and Hospital, Kolkata, and the systemic sexual exploitation and workplace abuse in the Malayalam film industry highlighted in the Justice Hema Committee Report, have rekindled the conversation surrounding women's safety at the workplace. The publication of the Justice Hema Committee Report has led to demands from members of other film industry bodies calling for independent investigations into similar systemic issues.
In response to the incident in Kolkata, the West Bengal health department, on 19 August 2024, launched the 'Rattirer Saathi – helpers of the night' program aimed at improving the safety of women working during the night in medical colleges, hospitals, hostels, and other establishments. Further details on the 'Rattirer Saathi' program can be found in our ELB E- Bulletin (August 2024) which can be accessed here.
The West Bengal State Government also passed the Aparajita Woman and Child (West Bengal Criminal Laws Amendment) Bill, 2024 ("Aparajita Bill") on 3 September 2024, which aims to amend the Bharatiya Nyaya Sanhita, 2023 and Protection of Children from Sexual Offences Act, 2012, to impose harsher penalties for those convicted of rape and permits the imposition of death penalty in certain instances. The Aparajita Bill is yet to receive presidential assent.
On 29 August 2024, the Ministry of Women and Child Development re-launched the 'She-Box' portal, to streamline the registration and monitoring of workplace sexual harassment complaints and allow women to register sexual harassment complaints online, irrespective of whether they are employed in the public or private sector. The portal currently, however, only allows government (central and state) employees to register complaints.
Employers are investing in the mental well-being of their employees The month of September is observed as Suicide Prevention Month all across the globe. In light of this, Indian employers such as the Tata Group, Aditya Birla, Infosys India, ITC Limited are taking significant strides to promote employee welfare, focusing on mental health care and suicide prevention. Many organizations are launching awareness campaigns that educate employees on the importance of mental health and the resources available to them. Employers are also offering workshops and training sessions to help employees recognize signs of mental distress in themselves and their colleagues. Additionally, companies are enhancing their employee assistance programs (EAPs) to provide confidential counselling and support services, ensuring that employees feel safe seeking help. Many organizations are also promoting a culture of openness through regular check-ins and mental health days, encouraging conversations around emotional well-being. By prioritizing these measures, Indian employers are not only fostering a supportive workplace but are also taking proactive steps to combat mental health stigma and enhance the overall well-being of their workforce.
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