The Tamil Nadu government on Wednesday said employees at software companies have the right to form unions, just like other workers, reported the Times of India. Replying to a petition filed by labour union Puthiya Jananayaga Thozhilalar Munnani, state labour secretary Kumar Jayant wrote: "IT company employees also are free to form trade unions and redress their grievances through evoking the provisions of the Industrial Disputes Act 1947. Any trade union with IT employees as its members can raise industrial disputes under section 2 (k) of the act and seek remedy."

So far, IT companies in Tamil Nadu have been able to prevent their 4.5 lakh workforce from unionisation. While trade unions, which have largely been restricted to factories, have hailed the development, the news has not gone down well in the IT sector. Companies believe it is a retrograde step, according to The English daily.