Employee Moonlightng

What is Employee Moonlighting? How to check for Dual Employment and Employee Moonlighting?

Recently, many top IT companies found that half the employee workforce is moonlighting (working for other companies simultaneously). Many got fired, prompting a stern reaction from companies. Dual employment, commonly referred to as “moonlighting,” involves working two or more jobs concurrently. Employees have been found doing a lot of work for two different companies at the same time. It puts the company’s data at risk and costs the company money. This increase in employee moonlighting is attributed to most workers remaining in a hybrid paradigm after the COVID pandemic and working from home most of the time.

Under the guise of working from home, moonlighting workers lead parallel lives. Employers will inevitably need to be re-verified utilizing cutting-edge authentication technologies.

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Understanding the Concept of Moonlighting

In America, working a second job and a normal 9-to-5 job gave rise to the phrase “moonlighting.” Some people began engaging in their passions in their spare time, while others began looking for part-time jobs. People often had two jobs at once and took advantage of working from home, especially in the IT sector. Employees of IT companies who moonlight are not subject to any laws. Plant employees are not allowed to hold dual employment under Indian labor rules.  Numerous employers include in their offer letters that an employee may not hold down two jobs at once or should refrain from doing so while employed. 

Employees should avoid moonlighting in such circumstances resulting in losing their jobs.

Laws of Moonlighting in India

It is acceptable to work numerous jobs in India without breaking the law. Although many businesses impose such restrictions in their employment agreements in addition to regulations against holding down other jobs, a person with a similar set of jobs may raise concerns about a breach of confidentiality. Moonlighting might be seen as cheating if an employee’s contract calls for non-compete and is quite common with most conventional employment contracts. Below is the brief about the laws of moonlighting in India-

According to Section 60 of the Factories Act of 1948, a worker cannot work simultaneously at two places of business. However, the definition of a worker in the Factories Act does not include an IT specialist or any employee performing administrative or managerial duties.

The Industrial Job (Standing Orders) Central Rules, 1946, state that a worker is not permitted to work against the industrial establishment’s interests or accept any side jobs that would endanger the employer’s interests.

Present Moonlighting Policies in India-

While many top companies are opposed to employee moonlighting, some support it. Let’s examine businesses that support moonlighting:

How to check Employee Moonlighting?

It can be difficult to track down dual work if you don’t know where to look. Employers can find out if their staff members are doing a second job or moonlighting in a few different methods. The most typical method is to check with the employee’s previous employers or have a background screening done on the suspect’s job history. Many firms forbid employees from holding down a second job.

Therefore, it is the most reliable method to determine if an employee is engaged in dual employment. Peeking at the employee’s pay stubs is another technique to verify. The pay stub for an employee should indicate which employers are paying them. Here are some suggestions on how to look out for-

Using AI-Powered Dual Employment Tool

There are AI-powered tools that companies can use to search for dual employment. It can help with end-to-end tech platforms ensuring an easy workforce and reduced data loss. Moreover, it will further help in reducing manual efforts and costs.

Through EPFO UAN

Using UAN for dual employment verification is a quick and easy way to find out about a current employee’s work history. This dual employment check method yields reliable results in the shortest time.

The tech-enabled procedure is precise and data-driven. Employees are eligible for Provident Fund and Employer’s Provident Fund benefits in any industry. Ex-employer information is collected using the UAN number, and verifications are opened and closed by the data. When you provide UAN numbers, the team checks to ensure the client has no other employment during their current tenure. If there is any dual employment, the case is flagged.

Screening the Financial Records

As an employer, you can check the financial records of the employees. Employees may receive revenue from another employment if paid more than they should be given their position or hours worked. It would help if you enlisted the aid of a company that performs employment background checks for this step. Research further if you have reason to believe your business simultaneously employs an employee at another job.

Check their Social Media Accounts

Many employees, especially those having LinkedIn accounts, usually post updates about their employment. You can check their updates to know if they are engaged in dual employment.

Doing Background Checks

When hiring any candidate for your company, it is essential to do a background check. It will help you know if the candidate has a history of doing any dual employment. Hire an agency that does employment background checks using different tools.

Benefits of Checking Dual Employment Moonlight by Employee

Examining employee moonlighting and dual employment has several advantages for the organization. You can prevent potential complications and problems by doing this. Employees might be unable to give their full attention to either job if they are doing two jobs, one of which is in a completely unrelated field. It can result in productivity and caliber.

Consider a situation where a worker has two occupations, one of which pays significantly more than the other. In that situation, a problem might develop. The worker might feel more loyalty to the position that pays more and less loyalty to the other. Problems with job satisfaction and turnover might result from this.

Additionally, you can prevent any legal problems by checking for Dual Employment and Employee Moonlighting with employment background checks. For illustration, imagine a worker with two jobs, one of which is in a distant state.

Other issues like tax problems, immigration, and data issues can arise. By proper check of dual employment can bring down these issues. Again, you can prevent these potential issues by checking Employee Moonlighting and Dual Employment.


The issue of employees moonlighting is delicate and complex for businesses to handle. The lack of clear legislation in this area makes it even more flexible to one’s interpretation. From the general population’s perspective, this is appropriate and fair. However, businesses or organizations don’t operate on the ideologies of good and wrong. There are laws, rules, and contracts to govern it. Which, if absent, can result in a chaotic, poorly managed setting.

By reducing these risks to a minimum, you can guarantee the smooth operation of your company. Working with background checks and pre-employment services will help you run your business smoothly by being aware of the law and taking precautions to look out for these behaviors. Use the right service to do the job perfectly and help you with background checks and dual employment threats.

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