The Kerala government has stepped in after nearly 900 medical coding professionals employed by the Indian operations of a US-based healthcare analytics company were abruptly terminated from its offices in Kochi and Kozhikode. The sudden job losses triggered protests by employees and prompted intervention by state authorities, who have temporarily halted the termination process pending further discussions.
According to the affected employees, they were informed of their dismissal when they reported for work, without prior notice or adherence to the notice period specified in their employment contracts. The workers alleged that the company failed to follow due process, leaving hundreds of families facing financial uncertainty and raising concerns over labour rights and employment practices.
The unexpected layoffs led to demonstrations outside the company’s offices, with employees demanding reinstatement and fair treatment. Many workers expressed shock over the sudden decision, stating that they had received no indication of impending job cuts. The incident quickly drew public attention, prompting political leaders and labour authorities to intervene.
Congress MLA Uma Thomas visited the company’s Kochi office after learning about the protests and held discussions with company representatives. She also contacted Kerala Labour Minister Bindhu Krishna to seek immediate government intervention. Thomas said the abrupt dismissals could have a serious impact on the livelihoods of hundreds of employees and their families and stressed the need to protect workers’ rights.
Following the intervention, officials from the Kerala Labour Department initiated discussions with the company’s management to examine the legality of the mass terminations. The department directed the company to suspend the termination process until further consultations are held with senior labour officials. According to government representatives, the management agreed that no final decision would be taken before a meeting with the Labour Secretary, scheduled in the coming days.
Uma Thomas stated that the immediate priority is to ensure that the affected employees continue in service wherever possible. She added that the company had agreed to hold discussions and consider compensation in accordance with directions issued by labour authorities if required. The outcome of the upcoming meeting between government officials and the company’s management is expected to determine the future course of action.
The incident has reignited concerns over employment security in the healthcare outsourcing and business process management sectors, where companies often serve international clients and are subject to changing business demands. Labour experts have emphasised that employers are expected to comply with contractual obligations and applicable labour laws while implementing workforce reductions.
The company has not issued a detailed public statement explaining the reasons for the layoffs or responding to the allegations made by employees. Meanwhile, the Kerala government has assured workers that it will closely monitor the situation and work towards a lawful and fair resolution. The case is likely to remain under scrutiny until discussions between the management and labour authorities are concluded.
