SEBI Employees Raise Red Flags Over Toxic Work Culture: Key Grievances and Mental Health Impact

The Securities and Exchange Board of India (SEBI), the nation’s capital markets regulator, has been facing significant internal unrest. Employees have raised serious concerns regarding a toxic work culture under the leadership of its chief, Madhabi Puri Buch. A letter submitted to the finance ministry, titled “Grievances of SEBI Officers – A Call for Respect,” outlines several issues plaguing the work environment, ranging from unrealistic key result area (KRA) targets to mental health struggles. Let’s delve deeper into five key complaints raised by SEBI employees.

1. Unrealistic KRA Targets

One of the most prominent issues highlighted by SEBI employees is the imposition of unrealistic KRA targets. Under the new management, targets were not only overhauled but also drastically increased, with some departments witnessing an escalation between 20% to 50%.

Despite employees’ efforts to meet these objectives, the expectations have become unattainable. The letter emphasizes that SEBI is not a profit-driven organization where surpassing last year’s goals is the only measure of success. Employees argue that such targets detract from the real purpose of the organization—protecting the interests of the capital markets and the nation. As the letter states, “Employees are not robots with a knob that one can turn and increase the output.

2. Immense Work Pressure

The unrealistic KRA targets have inevitably led to immense work pressure, pushing employees to work overtime and even on weekends to meet deadlines. Many SEBI employees reported carrying work home, with no respite from their demanding schedules.

This kind of intense workload has not only strained employees physically but also mentally. According to the letter, the toxic environment has turned SEBI into a “furnace” of overachievement, where the primary focus is on meeting targets rather than ensuring the well-being of employees. Stress and anxiety have become common, particularly among those who bear the brunt of this excessive workload.

3. Public Humiliation and Name-Calling

SEBI employees have also raised alarms over the unprofessional behavior displayed by senior management, particularly citing incidents of public humiliation and name-calling. According to the grievances letter, such behavior has become routine, with even senior officers avoiding meetings to escape the fear of being humiliated.

The letter highlights the use of unprofessional language and an authoritarian leadership style that has eroded the morale of the employees. The management’s use of harsh language and the practice of browbeating employees into submission has created an atmosphere where fear, rather than respect, drives performance.

4. Swing Barriers: A Symbol of Mistrust

Another grievance outlined in the letter is the installation of swing barriers to monitor employees’ intra-day attendance. This practice, according to SEBI employees, signifies a deep mistrust from the management.

In the letter, employees mention that many private organizations have moved away from such rigid monitoring systems to foster a more positive work culture. SEBI officers argue that their organization thrives because of self-motivated individuals, and the installation of these barriers is an insult to their dedication and intellectual integrity.

Monitoring employees minute-by-minute, they claim, reflects an outdated mindset, where the management assumes employees lack self-discipline and need to be constantly watched.

5. Mental Health Impact

Perhaps the most concerning aspect of the complaints is the toll the toxic work environment has taken on employees’ mental health. The increased pressure, public humiliation, and unrealistic targets have adversely affected the well-being of many SEBI employees.

The letter noted that mental health counseling services, which were once seldom utilized, have now become overwhelmed with appointments. The Human Resources department has had to increase the availability of the mental health counselor and open up unlimited mental health counseling sessions to accommodate the rising demand. This surge in counseling requests underscores the gravity of the situation and the impact of the toxic work culture on employee mental health.

The Call for Respect and Change

In their letter, SEBI officers have made a collective call for respect. The grievances raised point to a fundamental breakdown in trust, communication, and leadership within the organization. Employees argue that if SEBI is to continue fulfilling its critical role in India’s capital markets, the toxic culture must be addressed.

They are asking for a shift from fear-based leadership to one rooted in mutual respect, professionalism, and empathy. The management’s approach of increasing pressure and adopting unprofessional practices is not only harming employees but also undermining the long-term efficacy of the organization.

Conclusion: A Path Forward for SEBI

The issues raised by SEBI employees are not unique to this organization; they reflect broader concerns about workplace culture, employee well-being, and leadership styles in today’s corporate world. However, given SEBI’s role as a regulatory body with significant influence over India’s financial markets, these grievances carry added weight.

Addressing these concerns requires a holistic approach, where employee well-being is prioritized alongside organizational goals. By fostering a more inclusive, respectful, and supportive work environment, SEBI can ensure that its employees are not only productive but also engaged, motivated, and mentally healthy.

Ultimately, the grievances letter is a wake-up call for the organization’s leadership to reassess its practices and rebuild a culture that values both performance and people. The time for change is now, and it starts with respect.