Companies now need to embrace the principle of “think before you speak.” The Delhi High Court has ordered Wipro to pay ₹2 lakh in damages to a former employee over defamatory remarks made in a relieving letter. Justice Purushaindra Kumar Kaurav awarded compensatory damages to the employee to address the reputational damage, emotional distress, and loss of professional credibility he suffered.
The court observed that the original termination letter contained unverified and damaging language—such as “malicious conduct” and “complete loss of trust”—which, according to the report, amounted to actionable defamation. As a result, the company has also been directed to issue a revised termination letter free of any defamatory content.
The employee had filed the lawsuit against Wipro Limited, accusing the company of defamation and requesting the issuance of a revised discharge letter without negative remarks. He had also sought ₹2 crore in damages. Ruling in the employee’s favour, the Court noted that he had effectively demonstrated a clear discrepancy between the defamatory statements in the termination letter and the consistently positive feedback documented in official records.
It said, “The remarks, couched in the use of the term ‘malicious conduct’, not only lacked substantiation but also had a direct and deleterious impact on the future employability and professional dignity of the employee.”
The court further stated that Wipro was unable to present any credible defence to justify the allegations made in the termination letter. It also clarified that issuing a fresh letter and removing the defamatory remarks would have no impact on the employee’s termination itself.