Amazon gets govt notice on voluntary exit program

BENGALURU: Union labor ministry has sent a notice to e-commerce behemoth Amazon on the voluntary separation program (VSP) it announced for some of its employees in India. The VSP was announced following Amazon’s plans to reduce its staff strength by 10,000 globally.
Deputy chief labor commissioner A Anjanappa has asked Amazon to provide details related to the VSP, and its public policy manager Smitha Sharma has been asked to attend a hearing on November 23.
Amazon’s note on VSP said eligible employees will have the opportunity to voluntarily resign from employment in exchange for the VSP benefits. The VSP has to be submitted via smart forms between November 16 and 30. The VSP includes a lump sum severance payment equivalent to 22 weeks’ base pay, plus one week base salary for every six months of service, up to a 20-week paid severance, plus medical insurance coverage for six months according to its insurance benefit policy or equivalent insurance premium amount.
Employee union Nascent Information Technology Employees Senate (Nites) has written a letter to the labor minister Bhupendra Yadav seeking the government’s intervention over the VSP. It said the VSP violates labor laws. An email sent to Amazon on the matter did not elicit a response until the time of going to press.

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