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Moonlighting, a New Voice in HR

Moonlighting is not a new concept in India.  It has been in vogue for a very long time and therefore companies write very specifically in the employment contract that employees cannot work with two companies at the same time. In today’s job market, Moonlighting has become a hot topic in India and that too especially in the IT industry because of the pandemic reasons.

First of all, let us understand what Moonlighting is. It means engaging in multiple jobs, in addition, to one’s own regular job. It is a phrase used to explain the practice of working for other organizations while dedicating oneself to one’s primary workplace, usually without the employer’s knowledge.  Initially, this term was coined in the US where people used to work from 9.00 am to 5.00 pm for one employer and in the evening/night, they worked for other employers.  However, in the Indian scenario, someone commented it is not only moonlighting but sun-lighting also as some people are working for 5-6 companies at a time. 

In fact, the issue of moonlighting became prevalent as work from home became the norm during the COVID-19 pandemic, which is thought to have caused an increase in dual employment. It is for discussion whether the nature of work in the service industry is more moonlighting friendly as compared to other hardware and technology-related shop floor work. 

One newspaper report suggests that there are many reasons why techies moonlight, and it is not just money that drives them. Honing skills is one of the biggest benefits of it.  On interviewing one techie who works for an MNC firm in Bengaluru, an avid reader, he has been upgrading his skills and learning new technologies. It is learned that for him a freelance assignment meant a chance to test all that he had learned, something he can’t do at his regular workplace.

Moonlighting is not just about earning more but also about learning and building a security net for unforeseen scenarios.  For example, Moonlighting got a fillip during COVID when work-from-home mode helped coders take on more projects outside of regular job hours.  In fact Pandemic also scared a lot of techies into moonlighting to keep their basic revenue streams going in case they lost their regular jobs or to offset the impact of reduced salaries which many corporates took recourse to.

It has been reported that coders were in high demand. Moonlighting helped them to practice new skills that they do not get to use in their current job.  This helps expand their capabilities and boosts employability.

Many moonlighters also speak about how they had got jobs outsourced directly from US techies who did not have the time to complete the tasks on their own.  In many cases, it was also told that they wanted to augment their income since the companies had reduced their salaries during COVID and they had got the time while they were in work from home environment which helped the moonlighters to access the other employers.

Business disagrees with the approach, claiming that having staff perform numerous tasks can reduce productivity.  Moonlighting has come under sharper focus and discussion in the IT industry.  Wipro has gone ahead and fired 300 employees as part of a strict stand against workers who moonlight.  The company recently discovered 300 employees to be moonlighting and working for the competition.  The company spokesperson added that such individuals had no place in the organization.

Following Wipro’s action, there was a divergence of opinion within the IT industry regarding moonlighting.  Some described it as an ethical dilemma while some say that they would be receptive to the practice if it allows staff members to earn some extra money.  However, some forewarned the staff about fraud and expects them to be honest.  Some also issued a termination warning in case any employee indulges in moonlighting without prior permission from the employer.

The majority of IT firms have strengthened their opposition to moonlighting and threatened to fire employees who are found to be working on two jobs.  Moonlighting could be viewed as unfair competition if an employee’s contract stipulates non-compete restrictions and exclusive employment.  (Source WION)

Moonlighting
Image by Freepik

Return to work from office

Although commitment and loyalty are the fundamental issues, however, the technology sector is nevertheless far more prone to dispute, IP theft, and trade secret leaks.

In India also all companies want their employees to return to work, one major IT company has ordered its staff to spend at least three days a week working from the office.  In some places, people are trooping back to the office.  They want in-person people-to-people interaction and want them to be together. 

There is a strong voice emerging in the market that moonlighting is a phase in the developing economy due to many factors like cost of living, desire to learn, upskill oneself and get a wide industry view from the employability perspective therefore should be encouraged. 

Moonlighting will have to be observed from the perspective of the right to earn for living.  Because, if companies reduced the salaries of employees for business reasons employees can’t reduce their families, expenses, and commitment in the same proportion, especially in the corporate sector.  Moreover, people are forced to earn more to catch up with their family expenses and children’s education and learn more to avoid obsolescence due to seismic shifts in technology.  I believe selectively businesses will have to allow Moonlighting which does not directly conflict with their interests.

Rakesh Seth
Rakesh Seth
Rakesh Seth is a Business Mentor and Author with substantial experience in corporate, management & executive education and consulting.
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