Securities and Exchange Board of India (SEBI) on Monday withdrew its press release issued on September 4 which had addressed the claims of unprofessional work culture and had stated that the concerns were ‘misplaced’. It reaffirmed that the employee-related issues will be addressed through established internal channels.
“SEBI addresses employee-related matters through appropriate internal mechanisms. Following constructive discussions with representatives of all grades of officers, SEBI and its employees have reaffirmed that such issues are strictly internal and will be managed in accordance with the organization’s high standards of governance and within a time-bound framework,” SEBI said in a statement.
The market regulator said that it believes that its employees have played a critical role over the past thirty-six years in shaping the Indian securities market into one of the most dynamic and well-regulated markets globally.
“Accordingly, the Press Release no. 20/2024 dated September 04, 2024, stands withdrawn. Employees have strongly condemned the unauthorized release of internal communication and have confirmed that all concerns shall be addressed amicably through established internal channels,”’ the statement added.
In a statement dated September 4, SEBI had said that some ‘external elements’ had instigated its employees into believing that they shouldn’t be held to high standards of performance and accountability, that they were underpaid, and should get automatic promotions.
This was in response to the reports suggesting that SEBI employees had written a letter to the Finance Ministry raising concerns over a toxic work culture and demanding a change in senior leadership. According to reports, a letter dated August 6 signed by 500 Sebi employees accused the leadership of using harsh and unprofessional language, and setting unrealistic targets. “Shouting, scolding and public humiliation have become a norm in meetings,” said the letter. The email sent to the ministry was anonymous and subsequently, the employees submitted a list of 16 demands related to compensation and other benefits, SEBI had said.
Following this statement, a group of employees had gathered to protest outside the office, within SEBI premises, and said that the purpose of their demonstration was to show dissent and unity against what they call a press release with a fake narrative against all SEBI employees. The protest was subsequently called off on September 5.