CITU condemns layoffs at U.S.-based medical coding firm; calls for stronger labour protections
CITU leader V. Sivankutty has condemned the mass layoff of 800 employees at CorroHealth Infotech, citing concerns over weakened labor protections under new industrial codes. The union plans to pursue legal action, arguing that existing state-level protections should still apply to the firm.
Why it matters
This dispute underscores the tension between corporate restructuring and labor rights, particularly regarding the threshold for government oversight in mass layoffs.
Centre for Indian Trade Unions (CITU) state secretary and former Labour Minister V. Sivankutty on Sunday (July 5, 2026) strongly condemned the reported mass termination of nearly 800 employees by CorroHealth Infotech Private Limited across its centres in Kerala. He accused the U.S.-based medical coding firm of exploiting the Centre’s new Labour Codes to undermine workers’ rights.
The article focuses heavily on the perspective of a trade union leader and emphasizes the negative impact of policy shifts on worker job security.
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