U.S. firm CorroHealth halts layoffs of 800 in Kerala after government intervention
On July 3, 2026, U.S.-based CorroHealth Infotech abruptly terminated 800 employees in Kochi and Kozhikode, Kerala, India, citing low work volume and restructuring. The layoffs were halted after Kerala Labour Minister Bindhu Krishna and local officials intervened, demanding status quo. Despite this, the company later credited three months’ severance pay. Trade unions condemned the move, citing illegality under the Industrial Disputes Act, 1947, as new federal labour codes are not enforced in Kerala. Talks are ongoing.
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Centre offers all help to Kerala government to protect rights of retrenched tech employees
The Union Ministry of Labour has offered full support to the Kerala government regarding the retrenchment of over 800 employees by U.S. technology firm CorroHealth Infotech Private Limited from its Kochi and Kozhikode centers. Union Labour Minister Mansukh Mandaviya assured Kerala Labour Minister Bindu Krishna that the central government would stand for the job and social security of all workers. The issue remains under state jurisdiction, but the Centre promised assistance. Ms. Krishna also sought time to draft state rules on the four Labour Codes, with a labor conclave planned to finalize them. The next round of discussions between the state government and the company is scheduled for July 20.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.Retrenchments in Kerala: Labour codes and its rules
The article analyzes the retrenchment of about 800 employees by U.S.-based CorroHealth Infotech in Kochi and Kozhikode, Kerala. The company cited operational losses, while Kerala's government and opposition called the move illegal. The piece examines provisions of the Industrial Relations Code, including requirements for one month's notice, compensation of 15 days' average pay per year of service, and a worker re-skilling fund requiring employer contributions of 15 days' wages. It notes political debate over whether implementation of the four Labour Codes would have provided better worker protections, with Congress and CPI(M) leaders blaming the codes for enabling unilateral retrenchments, while Union officials argue Kerala's non-implementation left workers worse off.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.Kerala High Court Orders Conciliation Between CorroHealth, Employees, and State Government
The Kerala High Court has directed US-based firm CorroHealth Infotech Pvt Ltd, its employees, and the State government to attempt conciliation under the Industrial Relations Code, 2020, following the firm's decision to shut down operations in Kochi and Kozhikode and retrench around 800 employees. The firm had approached the court challenging a communication from the District Labour Officer of Ernakulam that directed it to maintain status quo on the closure and employee discharge. CorroHealth defended its decision, citing reasons beyond its control, and stated that retrenchment compensation had already been transferred. The court noted the Advocate General's argument that the State has a social obligation to attempt conciliation when many employees face job loss. The firm agreed to participate in conciliation proceedings scheduled for July 10, 2026.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.US firm CorroHealth closure: Kochi employees remain locked out as uncertainty looms
Hundreds of employees at US-based CorroHealth Infotech's Kochi office remain locked out after the company decided to shut its two Kerala centers. Labour department officials are recording attendance until Friday, when Labour Minister Bindhu Krishna will hold conciliatory talks with senior company officials. Despite a directive to maintain status quo, the company credited three months' salary as severance to affected employees. Around 600 employees in Kochi and 200 in Kozhikode were laid off with little notice. The government warned of legal measures if the company continues to ignore labour laws. The All India Youth Federation staged a protest against the layoffs.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.Kerala Left leader V. Sivankutty criticizes Centre's Labour Codes for enabling hire-and-fire policy
Former Kerala Labour Minister and CITU leader V. Sivankutty condemned the Centre's Labour Codes, alleging they enable a 'hire and fire' policy that harms workers. He spoke during a protest by employees of US tech firm CorroHealth Infotech, who were terminated without notice in Kochi and Kozhikode. Sivankutty noted that Kerala's LDF government had not notified the new codes, so the Industrial Disputes Act still applies, making mass layoffs illegal without state approval. He accused the company of exploiting cheaper labour by recruiting in other states while shutting down Kerala operations. Labour department officials are recording attendance until a ministerial meeting scheduled for Friday. The incident has sparked concerns about the future of IT employment in Kerala.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.US firm CorroHealth closure: Kochi employees remain locked out of office as uncertainty looms
Hundreds of employees at the Kochi office of US-based CorroHealth Infotech Private Limited remain locked out of their workplace as the company proceeds with shutting down its two Kerala centres. Labour department officials are recording employee attendance daily until Friday, when Labour Minister Bindhu Krishna is expected to hold conciliatory talks with senior company officials. Despite a directive from a Monday meeting—attended by the MLA, Labour Commissioner, and trade unions—to allow terminated employees access until talks, the company ignored the order and kept premises locked. The company credited three months' salary as a severance package to affected employees late Monday night. Around 600 employees in Kochi and 200 in Kozhikode were laid off with little notice last Friday. The minister warned of legal measures if the company continues its indifference. The All India Youth Federation (AIYF) staged a protest march, pledging solidarity with affected workers.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.Labor rule violations flagged by employees may have triggered CorroHealth layoffs in Kozhikode
Approximately 300 employees of CorroHealth Infotech Private Ltd. in Kozhikode, India, were abruptly laid off on July 3, 2026, with over 500 more affected in Kochi. The affected workers allege that the terminations were in retaliation for reporting labor rule violations to the Labour department, including forced overtime beyond 12 hours and denial of weekends and statutory leave. Management also rejected requests for relocation to retain jobs. Hopes rest on talks between government officials and company representatives scheduled for July 10 in Kochi. Politicians including Kozhikode North MLA K. Jayanth and Beypore MLA P.A. Mohamed Riyas have intervened, with the Labour Minister promising to escalate to the Union Labour Minister if talks fail. The CITU trade union protested, blaming the Union government's Labor Codes for the situation.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.CorroHealth's terminated employees locked out of office despite assurance
On July 7, 2026, employees of US-based CorroHealth Infotech Private Limited who were terminated without prior notice were locked out of their Kochi office, violating a directive from a previous conciliatory meeting. The directive had ordered the company to allow access until a July 10 meeting between Labour Minister Bindhu Krishna and top executives. Around 600 employees in Kochi and 200 in Kozhikode were laid off with little notice and given separation letters. The company credited three months' salary as severance, but employees demand reversal of layoffs or a 10-month severance package. Local MLA Uma Thomas alerted senior labour officials. District Labour Officer Minoy James said attendance is being marked as evidence of duty.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.U.S. tech firm's plan to close Kerala centres, eliminating 800 jobs, halted after government intervention
A U.S.-based technology company, CorroHealth Infotech Private Limited, abruptly terminated approximately 800 employees at its Kochi and Kozhikode offices in Kerala, India, without prior notice on July 3, 2026. The move to shut down the centres was halted following intervention by local political leaders, trade unions, and the Kerala Labour department. Employees reported being told the closure was due to a drop in work volume, but they alleged the company was hiring in other Indian states and sought to avoid labour law compliance. The Labour department directed the firm to maintain status quo, with a meeting scheduled for July 6 to decide the next steps. The company offered one month's gross salary as ex-gratia compensation in exchange for employees waiving further claims.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.CorroHealth Layoffs in Kerala: Employees Granted Office Access Until Minister-Level Talks on July 10
On July 6, 2026, employees of US-based CorroHealth Infotech in Kochi, Kerala, who were terminated without prior notice, were initially denied entry to their office by security personnel acting on company instructions. Following a meeting with local MLA Uma Thomas, Labour Commissioner Safna Nazarudeen, trade union representatives, and the company's legal representative, employees were granted access to the office until July 10. On that date, Kerala Labour Minister Bindhu Krishna will hold talks with company executives. Approximately 800 employees were shocked to receive a 'separation and full and final settlement' email on July 3. Trade unions, including DYFI, AITUC, CITU, and INTUC, protested the terminations, calling for reinstatement and criticizing the lack of prior notice as a violation of workers' rights. The government agreed not to take action against the company until after the July 10 talks.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.CorroHealth mass layoffs: CPI(M) calls for State intervention
The Communist Party of India (Marxist) [CPI(M)] has called for urgent state government intervention following mass layoffs by US-based CorroHealth Infotech Private Limited in Kerala. The company, which provides medical coding services to American firms, laid off 600 employees from its Palarivattom office in Kochi and 200 from its Kozhikode office without prior notice on July 3, 2026. CPI(M) Ernakulam district secretary S. Sathish termed the dismissals illegal under the Industrial Disputes Act, 1947, as new labour codes are not yet in force. He noted that the company offered three months' salary but violated labour laws and workers' rights. The company has not explained why only its Kerala offices were shut while those in Chennai and Noida continue operations.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.CITU Condemns Mass Layoffs at U.S.-Based Medical Coding Firm in Kerala, Demands Stronger Labour Protections
The Centre for Indian Trade Unions (CITU), led by former Labour Minister V. Sivankutty, has condemned the mass termination of nearly 800 employees by CorroHealth Infotech Private Limited, a U.S.-based medical coding firm, across its centres in Kerala. Sivankutty accused the company of exploiting the Centre's new Labour Codes to undermine workers' rights, noting that the new Industrial Relations Code raises the threshold for prior government approval for layoffs from 100 to 300 employees. He emphasized that since the new codes have not been implemented in Kerala, workers remain protected under the Industrial Disputes Act, 1947. CITU plans to pursue legal remedies, including raising the matter as an industrial dispute before the Labour Commissioner and Labour Courts. Sivankutty also urged the state government to act on recommendations from an expert committee headed by former Supreme Court judge V. Gopala Gowda, which found the Labour Codes weaken labour rights and suggested states can enact more protective laws.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.US firm appears to backtrack on lay-off freeze, credits severance pay to 800 Kerala employees despite government intervention
A US-based medical coding company, CoroHealth Infotech Private Limited, appears to have reneged on a promise to maintain the status quo after the Kerala government intervened to halt the mass lay-off of nearly 800 employees in Kochi and Kozhikode. Despite a conciliatory meeting where it was agreed to keep jobs safe until a Labour Secretary-level meeting on July 6, the company credited three months' salary as a severance package to affected employees late on Friday night. Affected employees claim the company acted based on Labour Codes, but Kerala Labour Minister Bindhu Krishna clarified that the new codes have not yet been enforced in the state. The company continues operations in Noida, Hyderabad, and Coimbatore. Employees are demanding reversal of the lay-offs or a severance package equivalent to 10 months' salary.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.U.S. tech firm's plan to shut Kerala centers, cutting 800 jobs, halted after government intervention
On July 3, 2026, U.S.-based CorroHealth Infotech Private Limited abruptly terminated approximately 800 employees at its Kochi and Kozhikode offices in Kerala, India, without prior notice, citing a drop in work volume and workforce restructuring. Employees received separation letters offering one month's gross salary as ex-gratia compensation in exchange for waiving legal claims. The move was halted after political leaders, including MLA Uma Thomas and Labour Minister Bindhu Krishna, intervened. The Labour department directed the company to maintain status quo, and a meeting with senior company representatives is scheduled for July 6. Employees allege the company is shifting operations to other Indian states like Uttar Pradesh and was unhappy with workers asserting labor rights, including overtime pay. Company officials were unavailable for comment.
The Hindu: Latest News today from India and the World, Breaking news, Top Headlines and Trending News Videos.