Tragic Death Of EY Employee: Probe Uncovers Pune Office Lacked Labor Welfare Permit

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New Delhi: As the tragic death of 26 year old Anna Sebastian, an Ernst & Young (EY) employee sparks widespread outrage, new details have emerged. Senior government official who spoke to Reuters revealed that the company’s Pune office, operating since 2007 lacked the required labor welfare permit. This permit which regulates work hours was missing, raising serious concerns about employee well-being.

The tragic death of audit executive Anna Sebastian Perayil has put Ernst & Young (EY) under intense scrutiny, with her mother blaming an "overwhelming" workload in a letter to the chairman of EY India. This heartbreaking incident has sparked a federal investigation.

There is an increasing demand for better protections for employees in high-stress roles, especially in light of the recent death of a junior banker at Bank of America in May. JPMorgan has created a new position focused on managing workplace stress to tackle these concerns. Moreover, Shailendra Pol, Maharashtra's additional labor commissioner, pointed out that EY's Pune office has been operating without the required registration under the state's Shops and Establishments Act. This limits work hours to a maximum of nine per day and 48 per week.

Shailendra Pol revealed that EY applied for the necessary registration only in February 2024. He also said that their application was rejected due to the company’s failure to register since opening its Pune office in 2007. EY has been given seven days to address this issue; if they fail to comply, they could face penalties of up to six months in prison or fines reaching Rs 5,00,000, or both.

Ey India did not respond right away to Reuters’ request for comment. However, the company has emphasized its dedication to employee well-being and assured that it is taking the family’s concerns seriously. In a letter by Anita Augustine, Anna’s mother which gained significant attention, highlighted her daughter's "backbreaking" workload, mentioning that she often worked late into the night and on weekends without any time off.

Perayil's family has reported that she passed away from cardiac arrest. Shailendra Pol's team is also looking into EY’s employee work hours, welfare policies and whether excessive workloads were imposed during Perayil’s four-month tenure as an associate. EY reportedly has around 100,000 employees across its member firms in India.