Can employers control moonlighting — employees taking up paying jobs additional to their contracted full-time employment — by sanctions?
To start with, there is no legal framework for moonlighting in India. It is only the company terms that dictate the policies. Government employees, especially teachers, doctors, and junior civil servants in rural areas always engage in other paying propositions. With Covid and work-from-home practice, and later with the ‘quiet-quitting’ trend, those who could, especially in technology, financial and legal spaces, have had a global opportunity to engage in remote work, in addition to their contracted employment.
Technology companies have been ambivalent about moonlighting. Some have permitted it, some have banned it, and some have fired people. Recently, there was a case in Canada, where the court ruled against a remote employee who was tracked through an application, for not working for stipulated hours. When asked about this, an Indian techie laughed and said that the employee was stupid, and should have learnt how to fool the tracker!
The question should be about why employees wish to moonlight.
A recent study by an Indian business magazine said 43% of employees favoured moonlighting. But many are surprised that the figure is so low. Post-Covid, many executive leaders talk about disenchantment with work culture and satisfaction. This is especially high at middle management levels. For many, it’s not about pay — it is more about finding meaning at work they do. Moonlighting is the symptom of the disease of dissatisfaction.
Deepa Agarwal, a mental health specialist working with leading companies in India, says based on her experience with leadership training programmes: “The attitude of employees seems to be hardening towards disillusionment, apathy and boredom; it’s a pattern.”
Addressing the issue
Why do corporate leaders not favour moonlighting?
Is it because of information security, which to an extent may be possibly controlled through technology, and not at all by legal and human resource remedies? How can companies limit intellectual transfer when it cannot be proved?
Or is it performance gaps, which can be tackled by setting effective goals and metrics, reviews etc.? For instance, why is voluntary work outside work hours encouraged, but not paid work?
Could it be the vague notions of ethics, in which case corporate leaders should examine all their operations through an ethical lens first?
Some corporate gurus facilely speak of legal remedies to restrict moonlighting through conflict-of-interest clauses and such. For multiple reasons, none of these will work and benefit only lawyers.
In the last pre-infotech millennium, loyalty was highly regarded, both by employers and employees. Employers were the first to break this emotional bond of loyalty for short-term profitability.
Reji Varghese, managing director of a mechanical fixtures company, says, “Even today, there are very few companies in which employees are treated as the strength they are touted to be. This is sometimes the cause of disengagement, dissatisfaction and disloyalty in terms of moonlighting.”
Some of the common causes that frustrate employees are,
- The reporting manager not knowing much and changing the employee’s work priorities based on what their boss says, not questioning it ever.
- People at the top fight with each other. The entire atmosphere becomes political and toxic.
- It’s not about what you know. It’s about who you know.
- There is no clarity in objectives and key results, and a lack of metrics to measure them.
Look within and reflect
It’s easy and foolish to dismiss these views because there is always a hidden truth.
“There are many companies that are taking the issue of dissatisfaction seriously. These companies are working on enhancing empathy and belonging through effective communication to try and address the core issues that are causing dissatisfaction,” says Deepa Agarwal.
It’s easy to speak of the culture of a company not being supportive, ignoring the fact that the culture is created by all who work in the company, not merely the owners, founders or directors. Most often, the immediate boss determines the way an employee perceives the organisational culture. This is exacerbated by the fact that quite often the younger people know more about what matters than their superiors.
Reji Varghese adds, “Employees if dissatisfied, have a greater propensity to moonlight, not for payment, but for creative freedom and personal growth denied at work. These young people are the future, and must be respected.”
Leaders should look within and reflect. Moonlighting can be curtailed, but not with legal remedies, but with better engagement and empathy. The power of empathy in times like these is immense. Many companies are now training their leaders to be more empathetic, so that when an issue like moonlighting crops up, they can understand the root cause and deal with it.
(The author is a global institutional coach, mentor, advisor and author)