In a significant move, the Government of India implemented a
nationwide lockdown in India in a bid to contain the COVID-19
pandemic with effect from March 25, 2020. The lockdown was
initially expected to last until April 14, 2020 but has been
extended until May 3, 2020. During the lockdown period, all private
and commercial establishments are required to be closed down, with
certain exceptions. While several employers have been providing
work from home facilities to their employees during the lockdown
period, due to the uncertainty over the scope of the COVID-19
public health emergency and the impact on the economy, employers
are now considering options for saving labour costs for business
viability reasons, including by reducing salaries of employees
and/or terminating their employment. We discuss these options
below.
