Even as it is battling falling sales, Ashok Leyland has announced a voluntary retirement scheme (VRS) for its executive cadre.
The VRS is aimed at reducing manpower costs, and aligning fixed costs. “While the company maintained market share in the last quarter, volume pressures continue, and we need to take some definite steps to manage the slowdown. The VRS package will be fair and provide adequate compensation to any employee who opts for it,” Vinod K. Dasari, Managing Director, said in a statement.
It laid off 1,200 casual workers, and effected a 5 per cent salary cut for the executives during the first quarter of this fiscal.