Case of Infosys and Gender Bias

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The passage discusses a sexual harassment lawsuit filed by Reka Maximovitch against Phaneesh Murthy, a senior executive at Infosys. It also examines Infosys' response to the allegations and provides background on sexual harassment.

Phaneesh Murthy was accused of sexually harassing and unlawfully terminating Reka Maximovitch, his former secretary.

Infosys' stance seemed to go against its image of a company with good corporate governance as it was accused of keeping the issue under wraps and compromising values to protect Phaneesh Murthy.

The case examines the controversy surrounding the charges of sexual harassment and

unlawful termination made by an employee against Infosys, leading Indian


software company, during 2001-03. Phaneesh Murthy, a top level executive and a
director on the company board, was accused of sexually harassing and unlawfully
firing his subordinate, Reka Maximovitch. The case provides information about the
definition of sexual harassment and examines in detail the events that occurred
from the time Maximovitch joined Infosys to the out-of-court settlement of the
lawsuit.

This is a story of blackmail, sex, stalking, threats, oppression, hurt feelings and revenge.
Interestingly, all this happened in and around the US offices of Infosys,2 one of India's
most well-known and respected software companies, between October 1999 and
December 2000. As a result, Infosys became entangled in a scandal, that dented its
reputation as a company that had the best corporate governance structure in the country.
The events that took place during October 1999 and December 2000 became public
knowledge in India only when Phaneesh Murthy (Phaneesh), the head of the sales and
marketing, and communication and product services division of Infosys (and a director
on the board), resigned from his post in June 2002. Phaneesh said that he had resigned in
order to focus on fighting a lawsuit filed against him in the US. The lawsuit, filed by his
former secretary, Reka Maximovitch (Reka) alleged that Phaneesh had sexually harassed
her and unlawfully terminated her employment. The company's share price declined by
6.6% soon after Phaneesh left.

The case attracted a lot of media coverage since a sexual harassment lawsuit implicating
such a senior official had never been heard of in the Indian corporate world. It was also
being seen as an event that could make Indian companies stop ignoring the sensitive issue
of sexual harassment at the workplace.

While sexual harassment of female employees was prevalent in the country, it was either
not reported or ignored. Either the victims kept quite due to fear of social ridicule and
fear of losing their jobs, or the matter was somehow hushed up by the management. The
stance adopted by Infosys in this case seemed to go against its image of a company
considered to be a model of good corporate governance. Analysts claimed that the
company had kept the issue under wraps for a long time. Media reports blamed Infosys
for neglecting to formulate/implement a structured policy regarding sexual harassment
and for compromising on moral values for an 'economically-valuable' person like
Phaneesh

Analysts wondered how a company that Forbes had once described as "a model of
transparency, not just for the rest of corporate India but for companies everywhere," do
such things! The saga of Phaneesh, Reka and Infosys and the issue of sexual harassment
at the workplace (in India as well as abroad) were debated heatedly in corporate and
media circles, as many more shocking events unfolded over the next one year.
Background Note
The sexual harassment of employees manifests itself in different ways, depending on the
social norms prevalent in various parts of the world. Broadly speaking, sexual harassment
at the workplace can be divided into two categories: 'quid pro quo' and 'hostile working
environment.'

Quid pro quo involves making the conditions of employment contingent on the employee
(prospective/existing) granting the employer sexual favors. The employer makes it very
clear that hiring, promotions, perks, facilities etc. would be possible only if the employee
consents to the former's sexual advances. This is a very 'easy to identify' and
comparatively 'easy to prove' form of sexual harassment

The 'hostile working environment' form of harassment, which is the basis of most of the
court cases filed, is more difficult to identify and prove. As per a 1993 US Supreme Court
ruling, this has been defined as, "When the workplace is permeated with 'discriminatory
intimidation, ridicule, and insult that is 'sufficiently' severe or pervasive to alter the
conditions of the victim's employment and create an abusive working environment."

Thus, any employee who indulges in speech or conduct of sexually discriminatory nature,
without encouragement from/being welcomed by the employee so as to create an abusive
working environment and negatively affecting the employee's performance would fall
under the purview of this form of harassment. Though the law clearly defines sexual
harassment, the diverse socio-cultural environment of different countries complicates the
matter. Reportedly, the rather 'free' behavior of Japanese bosses towards their female
subordinates would come as a shock to people from the US or many other parts of the
world. Even within a country, organization or office, the exact nature of the incident
depends on the attitude, upbringing and behavioral patterns of the people involved..
When perceptions influence thought than facts, the result is nothing but bias - Bias in the
matters of capability, career advancement and recognition.

Yes, women are facing a high degree of gender bias when it comes to their career. There
is a general perception that women are less capable than men in matters of business and
decision making. Almost 40 analytical studies have disproved these claims and have
established that women and men are at par with each other.

Is gender bias hindering a woman's career advancement?

Let's see some of the hindrances that a woman faces.

* She is taken less seriously


* She is considered unfit and is denied challenging roles
* Her leadership capabilities are undermined
* She faces gender discrimination from the time of recruitment
* Reports say that at least 30% of women are facing pay bias
* Her family responsibilities are considered as hurdles to her professional commitment
* Her career goals are considered less important compared to her male counterparts

Why a woman is considered less capable?

The plain fact that we are still living in a patriarchal society answers it all. Gender
discrimination at work is only one among those innumerable disparities that a woman
comes across. So the blame is not just on the corporate world, but society at large.
A misconception that her judgement skills are poor also prevails.

What can corporates do?

Corporates can contribute to a woman's struggle a fair treatment. An unbiased work


culture is the responsibility of every corporate which does not want to miss out on highly
potential talent pool.

* Let efficiency and capability be judged on the basis of performance and not on the basis
of gender
* Provide equal opportunities for men and women for growth in your organization
* Implement equal opportunity policies
* Cultivate a work culture wherein employees do not discriminate each other
* Encourage women to take up challenging responsibilities
* Avoid gender bias while recruiting
* Avoid disparities in the matters of pay
* Have laws and policies in place which punishes discrimination and sexual harassment.
Women do realize that gender equality is still the toughest battle they are fighting and
things will not change overnight. A thorough change in the mindset of people is the most
required solution to give equal and respectable opportunity for women. But how long will
such a change take to happen?
Do Comment..

Subject - Women in workplace: Harass me no more…


Women have constantly been subjected to harassment at the workplace. The
Indian Legal System has given ample rights to protect her interest but most
women are ignorant of what they can use and when….
There is no point in feeling sorry for the new age woman who shows that she is
absolutely defenseless when in reality she is only ignorant about what the Indian
Penal Code has to offer to safeguard her interests.
In today’s world being clueless about your legal rights is not cool. “It is like
roaming around in a war zone without a shield,”
If you know something is not working out, you need to gather your knowledge
and get going instead of sitting in a corner and whimpering about it. This new
age mantra is only to remind all the divas that accessing your rights on time
shows that you are smart and capable of handling yourself. You need to stop
feeling sorry for yourself and get rid of the ‘I’m the victim’ sign you’ve been
showcasing all this while and fight back.

“Women in our country have ample rights but have been brought up in such
away that they feel scared to raise their voice against injustice. They feel timid to
fight back in this male dominated society. Only a handful of them have the guts
to file a report or complain.”
. Whether it is the corporate world or a small retail outlet, most women have
complaints about their boss’s inappropriate behaviour. Workplace woes can be
sorted out provided you know what to do.

Razia Khan, Senior Associate in an MNC says, “It was my second job and as per
my faith, I’d always cover my head with a scarf. My team leader started calling
me ‘Taliban’ just because I was a Muslim. Initially, I ignored his remarks but the
teasing continued. I soon realized that his comments were targeted in a
communal way. I reported the matter to the ombudsperson in my office and an
investigation was carried out in which my TL was found guilty of harassment.”
Another common type of harassment at the workplace is gender bias. If your
boss tends to have a soft corner for the male species and treats you like dirt and
is even paying you a lesser salary as compared with your male colleagues for the
same post and same amount of work done by you, it’s high time you read the
Equal Remuneration Act to your boss.
“The Equal Remuneration Act is applicable to all employees including those in
the private and informal sectors. It states that employees of both genders doing
the same or similar work of the same value be paid equal remuneration in cash
and kind.”

It is often difficult to deal with an unsympathetic boss. But even she can’t do
much about the Maternity Benefits Act. According to the Act a woman is
entitled to payment during her maternity leave at the rate at which she was
working prior to the leave period.

The maximum period of maternity leave you are entitled to is 12 weeks, which
can be taken either before or after the delivery. In case of a miscarriage or
abortion, you are entitled to six weeks of paid leave. You can only apply for
maternity leave if you have worked with the organization for a period of at least
80 days. It is prohibited to employ female employees during the six weeks after a
delivery, miscarriage or termination of pregnancy.
The best way to safeguard your interests is to know all about your rights. You
can sit with a legal counselor and get to know about it in a few hours.
Knowledge is power and it is up to you to make that extra effort and make your
future secure at your workplace. After all, it is your choice if you want to work
in a healthy atmosphere conducive to growth or if you are ready to take the filth
in the name of ignorance and live with it forever.
Subject - Women and Work-Place Stress
North American women have joined the paid work force in record numbers and much-
needed attention is now focused on the effect employment has on women's well-being.
Until recently, theories and research about job stress have been directed primarily at
men's experiences, as a result, women's experiences of stress have remained relatively
unexplored.
The conceptual literature on stress suggests that working women are prone to the same
stressors experienced by working men. Yet, women are also confronted with potentially
unique stressors such as discrimination, stereotyping, social isolation, and work/home
conflicts. In addition, taking care of children and aging parents continues to be a source
of stress for women who work outside the home .
Even though women in the paid work force face numerous stressors, the conventional
wisdom that work is necessarily harmful to women has not been proven. There is little
evidence to support a global relationship between paid employment and either mental or
physical health in women. Instead, they found that paid employment had clearly
beneficial health effects for some women and clearly detrimental effects on others. These
effects depended on the characteristics of the individual woman, her family situation, and
the properties of her job:
Employment contributes to greater health benefits for unmarried women than for married
women.
For married women, employment has more health benefits if their husbands participate
more in household labor.
Employment has beneficial effects when there is a match between a woman's desire for
employment and her employment status.
Job characteristics such as heavy demands and low control increase health risks.
Some women derive greater satisfaction from employment roles than from traditional
roles as wife, mother, and community volunteer.
Work relationships that provide social support appear to improve health.
Obviously, the global conclusion that employment is inherently harmful to women in
unwarranted. Employed women experience a multitude of work-related stressors, yet
they appear to be better off than women who are not employed. Although multiple roles
for women produce a number of benefits, certain work conditions are deleterious to
women's well-being (Repetti et al., 1989).
Subject - Sex Segregation As A Source Of Stress
While women's work-force participation has doubled in the last 25-30 years, most
women are still employed in a limited number of occupations, performing labor different
from the kind of labor performed by men. For example, while 6 out of every 10 women
are in the paid labor force, 58% of Canadian women work in clerical, sales, or service
occupations. Men are employed in a wider range of jobs and more frequently hold higher
paying jobs (Statistics Canada, 1990). Sex segregation of work roles creates further
stressors unique to women. For example, secretaries, waitresses, and nurses experience
high demands, but receive limited autonomy and low pay. Routine, bureaucratic work is
common in female dominated jobs (e.g., clerical work). In addition, women in jobs that
remain male-dominated often experience social isolation-a situation that limits women's
opportunities for social support. Although women are joining the paid work force in
record numbers and are moving into men's occupations, men are not moving into
women's occupations. Until women's work is valued as much as men's work, this
imbalance is unlikely to change.

Subject - Barriers To Career Progress As Stressors


Another important stressor for employed women is the lack of career progress. While
this is a potential stressor for all employees, it is particularly problematic for women
because they are clustered in the lower levels of the hierarchy. For example, women hold
only 2% of senior management positions and only 5% of corporate board positions An
explanation for this finding is that stereotypes and biases of male decision-makers
prevent women's career advancement. The barrier formed by these biases has been
referred to as the "glass ceiling."
The well-known Framingham Heart Study showed that women's health may be
jeopardized by such barriers. One of the major predictors of coronary heart disease
among female clerical workers was decreased job mobility. Furthermore, women
reported more job changes but fewer promotions than did men, indicating that their
upward mobility may be severely constrained.
If barriers to career progress are related to decision-making processes-and there is
evidence that managers use decision models that systematically discriminate against
women (Hitt & Barr, 1989), then programs need to be developed that focus on the
decision-making behaviors of male managers. Education is another way to decrease
occupational segregation. Thus, organizations can encourage continued education
through such means as tuition refund programs and flexible work schedules (Nelson &
Hitt, 1992).

Subject - Addressing Women's Work-place Stress


ADDRESSING WOMEN'S WORK-PLACE STRESS
While organizations recognize the costs of stress to women, researchers and authors have
suggested a wide range of strategies aimed at preventing or eliminating women's
experience of work stress. The suggestions range from individually focused actions to
broad based organizational policy changes . These include the following:
Promote equity in pay and benefits for women.
Promote benefit programs of special interest to women.
Eliminate occupational segregation.
Produce a bias-free job evaluation program.
Provide equal starting salaries for jobs of equal value.
Support educational opportunities for women.
Educate men regarding importance of sharing responsibilities outside of work.
Provide parental leave, day care, and alternative work scheduling as resources for
preventing stress.
Provide more job flexibility for women and men to better manage work home conflicts.
Promote childcare and eldercare options in the community or the organization.
Support programs to educate and develop skills among women for managing and
controlling organizational politics.
CONCLUSION
In recent years much has been learned about the unique stressors which employed
women experience, as well as some of the health-related outcomes resulting from these
stressors. Policies and programs need to be developed that are preventive in focus in
order for women to maximize their career potential, and for organizations to benefit from
the rich resources that women bring to the work force.
Much misunderstanding surrounds sexual harassment and adjusting to new legislation
and new attitudes can be difficult and painful. Many women have experienced this
throughout their working lives and are often afraid or reluctant to confront the issue.

Many men are unaware that their behaviour can be both bullying and upsetting. This is
not a war between the sexes but an attempt at a more open and equal relationship within
the workplace.

Many other issues affect the capacity and ability of both men and women to fulfil both
their work and family responsibilities and the proposal falls short on a number of other
points:

-no guarantee to the right to part-time working for the parents of young children
-no definition regarding measures to promote family-friendly employment policies
-childcare facilities should be made more accessible by means of financial support for
creches,
-the Commission proposals could go a lot further in providing practical forms of
affirmative action designed to remove gender inequalities in the workplace

Subject - What is Sexual Harassment?


Sexual harassment is unlawful under federal and state statutes. You may have heard the
expression that distinction between sexual harassment and no sexual harassment is
dependent on the attractiveness of the perpetrator and to a large extent this is tr ue. If the
conduct or environment is sexual in nature and it is unwanted then it is sexual
harassment.
There is a difference between sexual harassment and gender based discrimination.
Gender based discrimination and sexual harassment are not the same thing, and a
claimant can have a gender based discrimination claim as well as a sexual harassment
claim.

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