The Centre for Industrial Training and Unions (CITU) has condemned the recent layoffs of employees at a U.S.-based medical coding company operating in India, demanding that the firm provide adequate notice and compensation and urging the government to strengthen labour protection laws.
V. Sivankutty, a former Minister of Labour, said in an interview that CITU would pursue all available legal remedies, including filing an industrial dispute with the Labour Commissioner and taking the case to the Labour Courts. “We will not let the workers suffer from sudden job losses without recourse,” Sivankutty told The Hindu.
The medical coding firm, which processes electronic health records for U.S. insurers, reportedly laid off more than 70 staff members in its Indian office last month. CITU’s statement said the layoffs were “unfair and in violation of the Industrial Disputes Act, 1947,” and that the company had failed to provide the required notice period or severance benefits.
The union also highlighted that the layoffs occur amid a broader trend of outsourcing and offshoring in the health‑information technology sector, where workers often lack robust legal safeguards. CITU has urged the Ministry of Labour and Employment to tighten enforcement of existing labour laws and to consider new legislation that would protect workers in contract‑based and gig‑economy roles.
No comments have yet come from the medical coding company or the Ministry of Labour. The company’s spokesperson declined to comment on the layoffs, citing ongoing internal reviews.
Sources
The Hindu, “CITU condemns layoffs at U.S.-based medical coding firm, calls for stronger labour protections,” 2026‑07‑05. https://www.thehindu.com/news/cities/Thiruvananthapuram/citu-condemns-layoffs-at-us-based-medical-coding-firm-calls-for-stronger-labour-protections/article71185459.ece
Story synopsis gathered from: The Hindu – National — source
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