Reliance Industries has cut the pay of employees by up to 50 per cent as the conglomerate battles lower profitability in wake of the coronavirus pandemic. The pay cuts were cited in a company note to employees dated April 29.
Reliance Industries, headed by India’s richest man, Mukesh Ambani, has decided that employees earning more than Rs 15 lakh a year will face a 10 per cent salary cut, while senior executives will take salary cuts ranging from 30 per cent to 50 per cent. Employees earning less than Rs 15 lakh per annum will not see any reduction in their compensation.
“The hydrocarbons business has been adversely impacted due to reduction in demand for refined products and petrochemicals … the situation demands that we maintain razor sharp focus on operating costs and fixed costs and all of us need to contribute to make this happen,” executive director Hital R Meswani said in the letter.