People@Work

Office Buzz: Employee Contingency Fund

| Updated on March 26, 2020 Published on March 26, 2020

Most organisations have a Business Continuity Plan for economic slowdowns, natural disasters and other dire situations that help them tide through the time. But Covid-19 could see companies change their approach to their BCP – make it a longer termed plan than the usual three months and put more investments and money into it. The lack of investment on BCP may hit the recovery of companies post Covid 19, as well as hurt workers because hiring takes the first hit, and layoffs become imperative. 

Interestingly, shared living company Stanza Living has now set up a dedicated Employee Contingency Fund, which is based on voluntary contribution from employees. Employees of the company across 10+ cities have come forward to pledge a part of their salaries to the fund, with the co-founders pledging 50 per cent contribution to the fund collection. This dedicated fund has been set up to cover basic medical expenses for any employee in need, in the unfortunate incidence of contraction of Covid-19.

Corona Insurance for staffers

Tech-based logistics company 72 Networks, which is a last-mile delivery platform for rural India, has availed a Corona Specific Medical Insurance policy for all its employees in the event of any casualty to cover their financial burden. In case of any casualty (Corona specific), the medical insurance company will bear the total cost of the test and treatment and a payment of Rs 1,000 will be given to the infected person during quarantine on a daily basis for meeting daily requirements. All 151 employees of 72 Networks are eligible for this scheme and the policy covers their spouses and kids as well. 

Published on March 26, 2020
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