Deferred payment at Voonik: HR Compliance

Voonik , an online fashion brand has deferred the payments for its 200 employees by 3 months. As reported by Money Control, Voonik’s CEO and Co-Founder Sujayath Ali said those who will quit the company will get a month’s salary as the severance package. He added the company “is currently one or two months away from EBITDA (earnings before, interest, tax, depreciation, and amortisation) profitability.

Subir Chatterjee, Compensation and Benefit Head says, ” Help me to understand this better. The founder deferred the salary to achieve EBIT? So far I know salary is part of operating expenses, don’t they have to book the salary as future liability? Operating Earning comes much before EBIT.”

Pratik Vaidya, MD Karma Management added, “Very few organisation understand the value of human capital & asset rather than treating as Operating expense. Audited Companies that defer salary and other incentive payables & sheepishly roll back in future when their employee leave”.

Subeer Bakshi, CHRO Bajaj Allianz reflects, “Agree that it’s going to be problematic, but it’s a well-intentioned alternative to lay-offs. That’s laudable, and I hope the employees buy in!”

What impact would this have on HR compliances to be maintained in the company. How would the EPF contribution, ESIC if any, other Retirals and tax deduction be managed by the employer in such a situation?

join us for more on this => Comply4HR

Raise a cause !

Do you wish to be heard on issues that are close to your heart ? How about raising a cause to the highest authority in your country? Ministry of Women and Child Development invites you to be an Agent of Change and raise a cause. Wondering how would this work? Here’s more on this :

Union Minister Smt. Maneka Sanjay Gandhi has been the using the power of Social Media to reach out to citizens, both to resolve the issues related to women & children as well as to get new ideas from them as to how to make lives of women & children better. In its latest citizen-driven campaign, Ministry of Women & Child Development, has solicited volunteers to raise ‘causes’, which they want the Government to take up.
Citizens are invited to be Change Makers in promoting the interests of Women and Children in India. Let’s unlock the unique power of social crusaders among the people of India.
Ministry will collate the issues raised by people over a month-long Social Media Campaign. All the causes will then be screened by an expert panel comprising the concerned stakeholders and the Union Minister herself. The selected issues will be taken up by the Ministry of Women & Child Development to be addressed at policy level. Not only this, the ‘Top Agents of Change’ will also be duly acknowledged and rewarded by the Ministry.
The campaign can be followed on Facebook & Twitter of @MinistryWCD under the hashtag #WCDAgentsofChange. How to Raise a Cause?
1. Follow us on Facebook & Twitter at @MinistryWCD
2. Look for our Daily #WCDAgentsofChange Post on Facebook/Twitter
3. Post an issue that you want to raise in Comments/Reply on the #WCDAgentsofChange Post on Facebook/Twitter
4. If you want to post a lengthy matter, send an email at wcdagentsofchange@gmail.com
So what are you waiting for ? Join the discussion in here

Women as driver to growth in the age of driverless cars !

Where does women stand, in the age financial meltdowns, geo-political differences and AI? 1 robot out of 4 factory workers in Maruti. The numbers looks even more interesting in totality with 2400 robots at Manesarand 5000 facility. Are we still competing with men for jobs and seats at Premier Institutes? Where does this lands us especially when women have lesser access to education and finances?

India ranks 87th in Global Gender Report 2016 with highest participation of women in education and health sector. Does this set any target for us?  The report further showed that the highest level of penetration remains in the Education and Health sector with fewer women in Technology and Policy making !

With equal participation we can add upto 28 trillion by 2025 which is equal to a combination of US & China’s economy . So what do we need to build this equality ? What are the building blocks that can affect growth ? Law and order , financial independence and education?

These are few laws worldwide that instils sexism so deep that imagining equality remains light years away! When we restrict women legally how does it impact her participation socially rather financially?

 

World Economic Forum reports women remain unpaid for 50% of her productive time at work. How does this add up to her pay?

Global gender index shows Iceland, Finland and Norway tops the chart and not the leading economies! Why is it so? Is it the access to education and policies at work that makes it happen? Few days back when Maternity Benefit act was amended in India, we had people worrying about women no longer being hired. Norway offers 44 weeks of maternity leave. No wonder they have 47% of women participation in Public sector and 26% in the private sector! When we have family friendly policies at work, we are no longer forcing a women to choose between family and work

This tweet sums up the support , policies, access to education and finances that we need! Here we have an young woman as a pilot to Air India taking the same official commute with her mother who works as an air hostess! This organisation isn’t a nimble-foot startup. It is not a super funded private company with loads of money to spend. Yet, that’s how strongly they have been balancing diversity.

40 economies that participated in Global Entrepreneurship monitor reports women Entrepreneurship rate rose by 13% whereas it was 5% for males. However in India , the perceived opportunity for women is 41% compared to their male counterparts. Anusha, who celebrated her 25th Birthday recently pitched her second startup to me. And she is not in Bangalore or Mumbai but in Vishakhapatnam. Her first startup is running successfully in association with Andhra Pradesh Government. According Deloitte report, Millennial women are bridging the gender pay gap. Are we planning anything to bridge the financial gap for the ageing women workforce too?

Where does the empowerment needs to happen? Anuja Shukla, head of Google for entrepreneur runs a project on her on own where she gets girls from age 8-15 to code. Revathy Roy , founder Hey Didi , formerly Vira Cabs, have trained more than 10000 women from socially backward classes to drive. She created employment for them through her startup. She empowered them to own their vehicles and earn out it, offering loans from banks with no collateral. Urvashi Neogi runs her profitable Event Management firm, Biz Integration with her Geographically based team. She doesn’t need a 9-to-5 at an office with face time from her team members.

Here’s a research by Adobe on Future of Work which says, future lies in collaboration and diversity of skills. So what does this imply? In the age where commitment to the work and the speed of delivery remain the only measure at work, do we still need the archaical work design? Would the jobs of tomorrow offer women more potential to deliver? Will the organisations of tomorrow have the bandwidth to build the leaders of tomorrow irrespective of gender?

If you have any HR Query or any query on Future of Work, Employee Engagement, Talent management, Women Empowerment, Retention or Business Strategy please write to me in here. Looking forward to learn more while finding solutions for you. This have been re-blogged from nabomita.com

Nabomita is the Founder to Nabomita.com. She is the Top 100 Women Achiever Awardee, awarded by Government of India , TEDx Speaker, Quoted on ForbesUS, one of the Top 20 HR Influencer in Social Media as declared by SHRM India and one among the Top 100 Technology Influencer in India. Connect with her on @nabomita_smiles , Facebook Page and Google+

How long would you wait for that job offer?

“So I applied for a job in late November and had three interviews throughout the month of December. They all went really well and I was even referred to by a well respected employee of the company. I was in contact with the HR coordinator throughout the process and said she will have more information for me before the holidays (Christmas and New Years). Unfortunately I never heard back. So I emailed her after the first week in January and she apologized and said she was out of the office…fine, no big deal. But then she said she will have something for me at the end of the week. So about two hours went by and she then tells me she got off the phone with corporate and she won’t have anything until the end of the month, but if I can wait they will have “good news” for me. I was a little disappointed because I now have to wait another 3 weeks, but I really want the job so I told her that I’m very interested in the position and I’m willing to wait. 

So the end of the month comes and still no response. I emailed her again kindly asking if there is an update and she emailed back saying they will have more information later in the week or early next week. It’s now early next week and I still haven’t heard from the company.

Are they stringing me along or should I just keep being patient?”

The answer looks straight into our eyes! When you are being communicated and yet not offered the role, it says more about the decision making capabilities of the firm. Every Job Opening have a closing date mentioned on it. The Hiring Manager are well aware of it. No job remains opens endlessly. Any requirement is supposed to be closed within 45-60 working days, at the most.

Gone are those days when companies could hire for to build the internal resource pool. No talent in the current economy can remain unbilled for long. Hence, every requirement have a monetary return mentioned on it. Any delay in closing the Job Offer can extend the monetary impact, leading to a loss. The preference remains on getting the talent billable as early as possible.

The disparity in views among the hiring managers can lead to an absence of clarity in communication. It can arise from various situations right from being able to decide on which candidate to hire to when to close the offer. Ideally, Business Managers prefer interviewing newer candidates till the final week, whereas HR Managers tend to close it early.

Last but not the least reason for holding a role is the Business Manager back-trackking on the role, even after informing the candidate to resign from their existing jobs. This is the worst phase where no Hiring Manager wants to be. However, uncertain Business Units tend to raise a job requirement and close it abruptly without hiring any candidate. This kind of experience affects the brand of the employer. Few firms may extend an offer with different role to retain the candidate. But then, thats the prerogative of few!

As a candidate, it’s hard when you have been waiting for a role and it never reaches you. That’s the risk you need to mitigate while switching jobs. Don’t place all your eggs in one basket. Explore few options before you resign and then zero down on the role. Eliminate employers with fuzzy communication, no matter how much you may want the role or how good it may sound initially! A strong job requirement gets closed as early as possible. This says a lot of about the company culture too. Any employer who creates a ‘Candidate Experience’ during hiring would care for their careers too! Money remains the highest motivator, till you realise the need for values. The deal breaker gets crystal clear when you know whom to trust your career with!

Wishing you a great career ahead!

If you have any HR Query or any query on Future of Work, please write to me in here. Looking forward to learn more while finding solutions for you.

Nabomita is the Founder to Nabomita.com. She is the Top 100 Women Achiever Awardee, awarded by Government of India , TEDx Speaker, Quoted on ForbesUS, one of the Top 20 HR Influencer in Social Media as declared by SHRM India and one among the Top 100 Technology Influencer in India. Connect with her on @nabomita_smiles , Facebook Page and Google+