Extramarital relation where founding partner is involved at a startup

We are a start up based in Karnataka, India with less than 20 employees. One of our founding partner has been involved in extramarital relation with an employee who is just a 22 year girl. Even after repeated attempts to communicate the unethical behavior we have been ignored and things have only gotten worse. They go out post lunch walks where people have seen them being romantic with each other. Pick and drop favors have been noticed by almost every employees in the office. Other than that they have been spending time outside working hours. Wife did reach out sensing things were different with him lately. However, he did convince wife that she is just a good friend. They have been the talk of the town. We are a small organization and this is giving a very wrong message to the entire company. We are unable to move legally since POSH can’t be implemented here. We did have verbal communication with both parties and they have been denying any relationship. Now this Director has history of being behind females trying to message them late nights with an intention to start a romantic relationship. But no one is willing to come forward with it.
Since he is one of the founding partner it’s been challenging for us to discipline him. What measures can we take to protect our work culture? Or are there any law designed to act in sure circumstances. Please advise…

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This startup will be dissolved soon as focus is somewhere else.

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@Shivi

This is really unfortunate. I can just imagine how the daily routine of the employees are in your workplace, more so difficult for the HR as to how this is to be handled, since the issue is on the founding partner.

If I may ask, is there anyone higher than the person involved?
Do you have any HR policy that covers indecent behaviors in the company?
You mentioned that the person has history of being behind females - how did this information got into you?

Issues like this should not really be brushed out, as this would really have a big effect on other employees in the company - which in turn affects productivity.

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Hi

This is a challenging situation but this is purely the call of the founders who need to draw lines on what would be their business focus. Putting too much focus on a personal relationship is only going to kill the organization. There is nothing illegal as long as it doesn’t impact business and would not come under POSH as either parties would not complain.
You can initiate actions only if any of the other colleagues complain that their actions are affecting them inside the office and bring that under POSH - but who do you want to blame?

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In a scenario where any employee harbors dissatisfaction with a leader’s conduct, a sense of powerlessness pervades the organization. The repercussions are undeniable—the organization’s performance may plummet, potentially leading to bankruptcy. Thus, it is imperative to remain vigilant, akin to having life jackets at the ready. Individuals must be poised to abandon ship should the need arise. The responsibility lies with each person to evaluate the situation and make a prudent decision.

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Hi Ludy,
Thank you for your reply. There are 4 founding members and they all share the same level of authority. Off course there’s been communication from other partners however both of them stayed calm and denied any involvement. We are at a very tight spot currently where the message to the team goes that the management has no intention to act whatsoever on these unethical behaviors. Well here one of the board member himself is involved and therefore it’s more complicated. Laws aren’t designed to act in such situations. Very unfortunate!

Thank you again!

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@Shivi

I feel how frustrated the team might be, specially so that one of the heads are acting outside the purview of what is morally correct from the standpoint of the majority. Nonetheless, as the HR - put the ball into the court of the management - tell them that if this act continue then expect that the culture inside the company will be marred, and expect that employees might go and that productivity will be affected. You can also talk to employees that no action from HR nor from management does not mean you are tolerating the act - it just means you want everyone to concentrate more on what is the reason for you entering work - that is to be productive and be paid at the end of the day. Sounds savage but that is the reality. And whatever these guys do, they will be answerable, not today - but time will come, as someone is not closing His eyes on such acts.

Once everyone stops giving them the attention they are getting, they will be the one to stop - its reverse psychology :slight_smile:

Good Luck Shivi… hope you will get over this challenge in your company.

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