|
In
a move that could cost Indian business
process outsourcing (BPO) companies a
huge packet,
United Kingdom
is introducing a law that will require
BPOs to safeguard the rights of worked
made redundant because of outsourcing.
Britain
’s Transfer of Undertakings
(Protection of Employment) regulation
(TUPE) will require BPO companies to
negotiate indemnity against legal
challenges for redundancy payments.
The other alternative is to building
into its billing the costing of such
financing taking away the cost
advantage of outsourcing.
While
British politicians, policy makers,
and companies have been insisting that
off shoring is good for
Britain
, this surprise move is bound to
impact the ongoing process of off
shore work. Many Indian companies are
expected to walk away from businesses
from the
UK
to avoid the headache of lawsuits and
compensation claims. |