Mastek Puts 425 Employees On Virtual Bench

IT service provider Mastek has decided to put 425 employees on a ‘virtual bench’ in light of demand reduction following the current crisis. This means that the 425 trainee employees and lateral hires can work from home and have the flexibility to work from office too.

Attrition rates have declined and projects are not picking up. This situation has resulted in companies laying off people under the garb of ‘performance issues’. This apart, employees are being let off for various reasons. This is happening in case of permanent employees (referred to as being on permanent bench) and with those at the trainee level.

Mastek maintains that employees will be given a fair compensation for a year until the upturn returns. “We have provided two options to employees,” says a company spokesperson. “The first option is to go for a ‘virtual bench’ and the second option is to leave the company in return for a fair compensation.”

More from Biztech

Future Group - Reliance Retail Deal approved by CCI RBI ban on cryptocurrencies takes effect; prohibition could force investors to tap the black market

The virtual bench will help employees to develop behavourial, technical and leadership skills. They can even volunteer for the Mastek foundation during this period. This initative will achieve twin objectives of not having to lay off employees while controlling costs with the provision of a fair compensation. The company will also be able to sustain the shareholder value with this move. Employees will be switched over to a ‘full pay’ mode after the economic situation returns to normal.