A major development regarding Hyderabad-based pharmaceutical company Dr. Reddy's is surfacing. Media reports say that many of its high-paid employees have been asked to resign by the company to cut costs. It was claimed by sources that 25% of the company's costs need to be cut.
According to people aware of the matter, the company has asked for resignation from employees earning high salaries. A source said, "The company has asked some of its employees to resign as part of an internal exercise to reduce manpower expenditure by about 25%. The employees who have been asked to resign include those who earn more than Rs 1 crore annually."
This campaign to reduce expenses in the company is also affecting its R&D department. Employees between 50 and 55 years of age have been asked to take voluntary retirement. However, no official statement has been issued by the company in this matter so far.