Tata Will Fire 30% Indian Employees Of Jaguar Land Rover To Save Money
Jaguar Land Rover, owned by the Tata Group, has now announced the biggest layoff in its India operations. As much as one third of the entire workforce has been fired by the British marquee brands.
JLR has previously fired people: 1000 people in 2018 and 4500 in 2019. Read on to find out how many employees will be fired by JLR this time.
Jaguar Land Rover To Fire 2000 Employees From India Operations
As per reports, the layoffs have already started and will probably continue through this month.
The global strategy is to remove about 2000 employees working in the non-manufacturing departments by the next fiscal. In 2018, JLR had reduced its headcount by 1,000 and in 2019, the company laid off about 4500 people.
This is one of the biggest retrenchment drive of the company in its India operations.
This is a part of the ongoing restructuring drive Project Charge+, which is being conducted to save about GBP 2.5 billion. The prospects of the company have been impacted greatly by the COVID-19 pandemic.
A company insider has said, “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.”
JLR’s operations in India are smaller comparably; there is one assembly unit in Pune where Tata Motor’s Pimpri Chinchwad facility is also functioning.
Jobs Of Workers Are Safe; White Collar Employees To Be Fired
However, the jobs of all the workers in the factory are safe as this retrenchment drive is only for white-collar and non-manufacturing jobs. Reports have suggested that there will be a loss of about 20 jobs, which will primarily be in marketing, sales and administration and HR in the company.
Another employee has said that there is a false sense of complacency as Tata Motors is JLR’s parent firm. He said, “The overall number of white collar jobs in JLR is low so even with the small number of people being laid off, in percentage terms it is quite high. On the other hand, these people could have been easily absorbed by Tata Group but unfortunately that was not done.”
As per a detailed statement by JLR, they are running this retrenchment drive to find the right cost structure for its workforce. There is no news about any severence packages, the salaries of the top management, etc.