British marquee brands Jaguar Land Rover (JLR) that is owned by the Tata Group is undertaking its biggest ever retrenchment drive in its India operations, slashing its workforce by nearly a third, sources told Business Today.
The layoffs, which have already started and are expected to continue through this month, are part of its global strategy to shed about 2,000 non-manufacturing jobs by next fiscal. JLR had also reduced its global headcount by 1,000 in 2018 and another 4,500 in 2019. These are part of its ongoing restructuring drive Project Charge+ through which it aims to save about GBP 2.5 billion. Its prospects, as of the industry as a whole, has been further hampered by the COVID-19 pandemic.
Despite being present in the market for over a decade now, JLR has relatively small operations in India. It has an assembly unit in Pune in the same vicinity as parent Tata Motor’s Pimpri Chinchwad facility. As this round of retrenchment covers only white-collar and non-manufacturing jobs, workers at the factory are secure. In all, it will lead to the loss of around 20 jobs mostly in marketing, sales and administration and HR in the company.
“There were rumours of layoffs since the start of the year, but employees were made to believe that India, which is a very small market for JLR globally, might be spared. So, this has come as a shocker for many,” said a company insider who requested anonymity.
Another employee said there was a false sense of complacency that because JLR’s parent firm Tata Motors is an Indian entity, it would not touch its Indian employees. “The sackings are that way surprising even if one looks at the business environment, it is a no brainer. The top management have been left untouched though,” he said.
News Source: Business Today