What Is Moonlighting? Is It Ethical to Do More Than One Job in India?
The work-from-home culture induced by the pandemic has encouraged people to look for more earning opportunities. The people who are working in white colour jobs are not spared from it which leads to compliance issues within companies. Last week, Swiggy– the food delivery app- declared a Moonlighting Policy for its employees that allow them to work under certain conditions in other jobs once their shift is over.
Also, fintech unicorn Cred encourages side hustles and revealed that the head of design and engineering of the company participates in Carnatic rock band Agam. On the other hand, Wipro chairman Rashid Premji’s tweet calling moonlighting “cheating” sparked a flood of reactions. “There is a lot of chatter about people moonlighting in the tech industry. This is cheating-plain and simple” He tweeted.
Moonlighting
Moonlighting is the act of working for one company while simultaneously taking on additional responsibilities and jobs, usually without the knowledge of the primary employer. The so-called side job is usually done after hours or on the weekends. The adage gained popularity when Americans started looking for second jobs to supplement their income in addition to their regular 9–5 jobs.
What is the moonlighting policy at Swiggy?
On August 3, Swiggy announced that in addition to having a full-time position there, employees would be free to take on additional projects outside of work, and the company would support them in doing so. The gigs or contract work will be categorised for this reason.
The projects were split up into two buckets, A and B. The highly sensitive projects on List A make use of expert knowledge. According to Yamini Koganti, an HR specialist who worked on Swiggy’s policy development, List B includes projects that fall under the category of interests and hobbies and are not work-related.
The policy states that projects chosen for consideration on the basis of their potential financial benefit and/or that fall under List A must be declared by the employee and can only be accepted if Swiggy approves them.
“Employees are free to take on any project or activity that is undertaken after hours or on the weekend without impairing productivity or posing a conflict of interest. In order for the team to approve the project, the employee will need to provide a few essential details”, she said. For instance, a Swiggy employee who works in data science said she will work on an unrelated project to enable a platform for smart spaces based on Internet of Things intelligence.
In defending the policy, Koganti cited Dale Vaz (CTO, Swiggy) as saying: “I remember Dale Vaz telling me how moonlighting projects have existed for a long time and that it’s time we embrace and enable them to make it a win-win. The next step will be to determine whether this will foster employee productivity and creativity.
Is moonlighting morally right?
Regarding moonlighting, there is disagreement in the IT industry. Others consider it to be urgently necessary while some people label it unethical. Rishad Premji, the chairman of Wipro, has made his position on this very clear. People working second jobs in the tech sector are a hot topic. He had said earlier that “this is cheating, plain and simple.”
Contrary to Premji, Mohandas Pai has a different opinion on the matter. Moonlighting is not “cheating,” according to the former director of Infosys. “An employment relationship is a legal agreement between me and my employer under which I am compensated for the ‘n’ daily hours I work for them. I’m free to do whatever I want now, after that time has passed”, he said, according to Business Today.
It was “not rampant,” according to Tech Mahindra’s MD, CP Gurnani. Gurnani continued by saying that his company would probably “make a policy” allowing employees to openly hold down multiple jobs at once. “Sure, if you want to do it. But be honest about it and let us know, “said Gurnani at a gathering.
The CEO of TCS, N Ganapathy Subramaniam, also referred to it as an “ethical issue.” When decisions like this are made for short-term gains, you lose out in the long run, he claimed. Earlier, Swiggy declared an “industry first policy” that permitted employees to work additional hours. “Any project or activity that is taken on outside of business hours or on the weekend, without affecting productivity, and does not have a conflict of interest, may be picked up by the employees, “Added Swiggy.
Indian law on Moonlighting:
The legality of moonlighting in India is not specifically addressed by any provision of the country’s employment law. The Factories Act of 1948’s Section 60 discusses the prohibition on double employment in India for those who work in factories. No adult worker is permitted to work in a factory if they are already employed by another factory, according to the rule.
However, not all institutions are covered by the law because not all organisations fall under the definition of a factory as defined by the Factories Act of 1948. Organizations exempt from the Factories Act are required to include a dual employment clause in the offer letter, employee agreement, or appointment letter outlining the restriction on concurrent employment. The employment contract must specify any restrictions on concurrent employment and the employee’s ineligibility for concurrent employment until they have completed their current employer’s services. This means that an employee cannot hold two jobs at once.
The various state-specific Shop and Establishment Acts that are applicable to establishments not covered by the Factories Act also contain provisions regarding simultaneous employment in India. For instance, the Delhi Shops and Establishment Act specifies that an employee cannot work in a factory or establishment for a longer period of time than is permitted by law.
The definition of “double employment” in India’s shops and establishment employment laws is different because they prohibit employees from working in the same place after their regular shifts have ended. To stop employees from working two jobs, however, the Factories Act and Shops and Establishment laws can both be used.
A worker cannot go against the interests of an industrial establishment by taking dual employment on top of their current job, according to Section 8 of Schedule I-B of the Industrial Employment (Standing Orders) Central Rules, 1946. A number of Indian courts have ruled that the termination of an employee who has taken on two jobs is valid under Indian law because doing so reduces the employee’s productivity and efficiency because they are unable to give their job their full attention.
In 2016, the Punjab and Haryana High Court ruled that it was entirely legal to fire a driver who was working two jobs at once. Similar to this, the Madras High Court upheld the validity of a Grade III operator’s termination in 2012 after it was discovered that he was working as a director for another organisation. To determine the legality of an employee termination policy based on such grounds, the courts must consider each aspect of moonlighting on an individual basis.The dual employment of Indian law does not specify a specific punishment for dual employment. It is clear from the various legal rulings that dual employment in India has the result of terminating the employee who holds both positions.
Clause of Moonlighting
Employers must take action to safeguard the business’s interests and make sure that employees give their current jobs their all-out effort. The Moonlighting Clause is one such measure employed by employers.
A negative covenant known as a “moonlighting clause” prohibits an employee from working two jobs at once. As a result, it prohibits taking on any additional employment while working for another company. Moonlighting simply refers to working a second job in addition to your primary one. It is included in the employment contract to encourage employees to work hard and pay attention only to their current tasks. The employer and employee must both freely agree to the addition of the moonlighting clause and its signing.
Dual employment must be explicitly mentioned in the employment contract as a reason for dismissal, the employer must ensure. Also, the employer needs to hire a qualified employment attorney to draft their HR policy, making sure to include the company’s position on dual employment and its dual employment policy.
FAQs
Q.1- What is moonlighting?
Moonlighting is the act of working for one company while simultaneously taking on additional responsibilities and jobs, usually without the knowledge of the primary employer. The so-called side job is usually done after hours or on the weekends. The adage gained popularity when Americans started looking for second jobs to supplement their income in addition to their regular 9–5 jobs.
Q.2- Can we do 2 jobs simultaneously in India?
The employment contract must specify any restrictions on concurrent employment and the employee’s ineligibility for concurrent employment until they have completed their current employer’s services. This means that an employee cannot hold two jobs at once.
Q.3- What is legal moonlighting?
Working multiple jobs simultaneously is known as moonlighting. Moonlighting, according to US Legal, is the practice of working a second job after regular business hours. So, someone could have a regular 9 to 5 job as their main source of income and work a second job at night to supplement it.
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