We need to address India’s workplace culture
- The tragic death of Anna Sebastian has reignited concerns about India's corporate culture, especially the toxic work environments that are often taken for granted in private sector companies.
- Her mother’s poignant comment that young professionals today "are still working like slaves" underscores a critical issue: despite economic progress, workplace exploitation persists and demands urgent attention.
Core Problems in Corporate Culture:
- Indian corporate culture is frequently criticized for long hours, lack of respect for employees, inadequate work-life balance, and abusive management practices. Employees often face unmanageable workloads, as companies hire fewer people to cut costs.
- This leads to “organizational stretch,” where two people are expected to do the work of four, a setup presented under the guise of promoting “performance culture” but which essentially maximizes profit at the employees' expense.
- Concepts like “variable pay” and “the bell curve” for performance evaluations are used to justify unequal pay distribution and intense competition, benefiting top management at the expense of lower-level employees.
- This culture contrasts sharply with European workplaces, where shorter work hours and greater protections promote a better quality of life. While U.S. corporate culture also values high performance, the standard of living and available resources are substantially higher than in India, where daily commuting and family responsibilities add to employees’ stress.
- This makes the American model unsustainable and unfair when transposed to Indian conditions.
Professional Conduct and Fair Treatment:
- Issues of respect and professionalism further worsen the corporate atmosphere. Cases like that of U.K. Deputy Prime Minister Dominic Raab, who resigned after allegations of “bullying,” highlight the zero-tolerance policy for intimidation in Western workplaces.
- In India, however, such standards are rare. Employees have limited legal recourse against abusive behavior, unlike in Western countries, where they can sue firms for mental stress and discrimination and potentially receive large settlements.
- Consequently, the hierarchical and often unprofessional language used by managers in India creates an environment where employees feel undervalued.
- There’s also widespread dissatisfaction with performance evaluations, which are often perceived as arbitrary. Variable pay heavily favors top executives, creating resentment and a sense of injustice among the workforce. The result is a toxic culture where dissatisfaction is pervasive, affecting mental health and productivity.
Public Sector as a Model?:
- Interestingly, India’s public sector often has a healthier work culture. Although the pay may not match that of the private sector, job security, more equitable pay structures, and the presence of unions help protect employees from arbitrary treatment.
- Complaints about a toxic environment are less common, suggesting that a balanced approach to workload and compensation can mitigate such issues.
The Way Forward: Potential Solutions:
- Corporate Accountability and Transparency: The immediate response from corporates is typically superficial—reiterating core values or promoting token initiatives like “work-life balance” programs. Such efforts rarely address the root problems. Boards need to be more connected to workplace realities, and there should be mechanisms for employees to report issues without fear of retribution.
- Stronger Regulation: In the absence of substantial corporate action, some form of regulatory intervention is likely necessary. Regulation could ensure that boards are more involved in shaping company culture and provide avenues for employees to seek redress for workplace grievances. Following Anna Sebastian’s passing, there is hope that her story will lead to long-lasting change in the way India approaches workplace well-being.
- Enhanced Legal Protections for Employees: India can take cues from Western countries by strengthening legal protections for workers against mental stress and workplace discrimination. If employees have legal options to address mistreatment, companies may be more cautious about allowing toxic practices to persist.
- Cultural Shift: Finally, a shift in corporate mindset is essential. A productive work environment is not solely about maximizing profits but about valuing employees, who are integral to any company's success. Changing the prevalent mindset can make workplaces more humane and productive, ultimately benefiting both employees and companies.