In a fresh press release issued on Monday, the market regulator stated, “Following constructive discussions with representatives of all grades of officers, Sebi and its employees have reaffirmed that such issues are strictly internal and will be managed in accordance with the organisation’s high standards of governance and within a time-bound framework.”
Sebi’s new response comes amidst a month-long protest by employees that began in early August when the employees held a silent protest for fifteen minutes at the headquarters in Mumbai. Sebi employees had written a mail to the finance ministry on August 6, expressing their concerns about a toxic work culture and other demands.
The employees had alleged that top officials use unprofessional language, enforce extended working hours, and create an unrealistic work environment that negatively impacts their mental health.
Following the issues raised by employees, Sebi issued a five-page press release on September 4 detailing its stance on the human resources (HR) crisis and rebutting the allegations of employee mistreatment. The regulator stated that its “junior employees were misinformed about automatic promotions” and it was an assumption that they are underpaid at a cost to company (CTC) of Rs 34 lakh per annum.
A day later, nearly five hundred employees staged a protest in response to the official statement. The employees demanded the withdrawal of the earlier communication by Sebi and the resignation of chairperson Madhabi Puri Buch. This demand came at a time when the Sebi chair was already under scrutiny due to allegations levelled by short-seller Hindenburg questioning her objectivity.
“Employees have strongly condemned the unauthorised release of internal communication and have confirmed that all concerns shall be addressed amicably through established internal channels,” the press release added.
“Sebi believes that its employees have played a critical role over the past thirty-six years in shaping the Indian securities market into one of the most dynamic and well-regulated markets globally,” stated the regulator.
