Dr. Reddy’s Fires Back: “Factually Incorrect” Report Sparks Fears Over Disastrous 25% Workforce Cuts
Dr Reddy’s Laboratories Denies Reports of Mass Layoffs, Cost-Cutting Measures
Dr Reddy’s Laboratories, a leading pharmaceutical company, has denied reports claiming that it plans to reduce its workforce costs by 25% and lay off high-earning employees. The company has categorically dismissed the claims, terming them “factually incorrect”.
In a filing made to the stock exchange, Dr Reddy’s stated that it does not comment on market speculation and has no plans to initiate such cost-cutting measures. The company emphasized that it has been actively hiring in recent years to support its expansion into new businesses. In fact, it reported a 7% rise in consolidated employee benefit expenses to Rs 1,367 crore in Q3 FY25.
Contrary to the reports, which claimed that the company is targeting senior executives earning over Rs 1 crore annually and offering voluntary retirement to employees in the 50-55 age group, Dr Reddy’s maintains that no such measures have been initiated. The company has also invested nearly Rs 39 crore in employee training and development and hired over 6,200 people in FY24.
Dr Reddy’s accounted for employee benefit expenses of Rs 1,276 crore in the same period of FY24, indicating a steady investment in its workforce. The company’s emphasis on employee development and hiring suggests that it is committed to its growth strategy, particularly in its new ventures into areas such as nutraceuticals and digital therapeutics.
Dr Reddy’s non-binding statement also did not comment on market speculation, leaving room for speculation and uncertainty. However, the company’s statement makes it clear that any claims about layoffs and cost-cutting are unfounded. Despite the uncertainty, Dr Reddy’s commitment to its workforce and expansion plans suggests that the company is focused on long-term growth rather than short-term cost-cutting measures.
Original Source: https://theshillongtimes.com/2025/04/14/factually-incorrect-dr-reddys-denies-report-on-25-pc-workforce-cost-cuts-laying-off-highly-paid-staff/
Category : NATIONAL,News Alert
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Publish Date: 2025-04-14 20:45:00
