SEBI Withdraws Statement on Employee Protests Over ‘Toxic Work Culture’

The Securities and Exchange Board of India (SEBI) has retracted its recent statement, which claimed that employees protesting against a ‘toxic work culture’ were misguided. In a brief statement on Monday, SEBI acknowledged the critical role its employees have played over the past thirty-six years in shaping the Indian securities market into one of the most dynamic and well-regulated markets globally.

SEBI emphasized that it addresses employee-related matters through appropriate internal mechanisms. Following constructive discussions with representatives of all grades of officers, SEBI and its employees reaffirmed that such issues are strictly internal and will be managed in accordance with the organization’s high standards of governance and within a time-bound framework.

“Accordingly, the Press Release no. 20/2024 dated September 04, 2024, stands withdrawn. Employees have strongly condemned the unauthorized release of internal communication and have confirmed that all concerns shall be addressed amicably through established internal channels,” SEBI stated.

On September 4, amidst allegations of SEBI employees protesting and complaining of a ‘toxic work culture’, the market regulator had categorically denied the issue, asserting that the employees were perhaps misguided by external elements to target the credibility of SEBI and its leadership. Reports indicated that SEBI officials had complained to the finance ministry last month, accusing the regulator’s leadership of fostering a ‘toxic work culture’. Following SEBI’s statement, employees gathered at the SEBI office the next day to protest against the regulatory body’s statement.