Swarnima Pandit’s Post

How to Lay Off Employees – The Tata Way Time : 1990s People to be fired/reduced : 80,000 to 40,000 Letting people go was not just painful—it went against the very core of Tata’s values. But sometimes, even the most caring companies have to make difficult choices. Tata Steel didn’t take the easy way out. Instead, they created an employee separation scheme that set a new standard for humane layoffs: 1) Full Salary until their notional retirement date. 2) Lifetime medical insurance for the employees and their families. 3 The right to stay in company-provided housing for 3 years, giving them time to find a new place to call home. People thought Tata was out of its mind. "Are you guys crazy?" many industry veterans asked. But this was Tata. And their values were non-negotiable. What followed was a lesson in ethics that the business world would never forget. Fortune Magazine went on to list this move as one of the top 10 best industrial decisions ever made. This story is a testament to the legacy of Ratan Tata—a legacy built on compassion, integrity, and doing what's right, even when it’s hard. A legacy that will inspire generations to come. #RatanTataPassedAway #RatanTata #TataGroup #Layoffs #Culture

In the 1990s, Tata faced significant challenges due to economic liberalization in India and the need to adapt to a rapidly changing market. During this period, particularly in the early 1990s, some Tata companies had to implement layoffs as part of restructuring efforts. Ratan Tata approached these layoffs with a focus on empathy and support for the affected employees. Here are some key actions taken: Communication: He emphasized transparent communication, ensuring that employees were informed about the reasons behind the layoffs and the broader context of the company's situation. Severance Packages: The Tata Group typically provided generous severance packages to help employees transition. This included financial support and sometimes extended benefits. Re-skilling and Support: Efforts were made to assist laid-off employees in finding new opportunities, including providing access to training and re-skilling programs. Focus on Core Values: Throughout this process, Ratan Tata maintained the company's commitment to its core values, emphasizing the importance of treating employees with dignity and respect, even in difficult circumstances. These actions reflected Ratan Tata's leadership philosophy, balancing the necessity of business decisions with a genuine concern for the well-being of employees. This story had to be told today. Ratan Tata leaves a legacy behind him that will be hard to emulate. #RatanTata #tatagroup #culture

How Ratan Tata saved 100+ Jobs at TISS In a world where layoffs make headlines daily, here's a story that restores faith in compassionate leadership. Last month, over 100 employees at the Tata Institute of Social Sciences faced an uncertain future. Due to funding issues, 55 teaching and 60 non-teaching staff across four campuses received termination letters on June 28, 2024. But then something remarkable happened. When Mr. Ratan Tata learned about the situation, he took swift action. Here's what unfolded: 1. Tata Education Trust (TET) immediately released Rs 4.79 crore to TISS. 2. This funding covers expenses for the next 5-6 months. 3. TISS withdrew all termination letters. 4. All staff members were asked to continue their work. Why this matters: → It shows the power of responsive leadership. → It highlights the importance of timely intervention in crisis. → It demonstrates how business leaders can positively impact education. Mr. Tata's actions remind us that true leadership isn't just about profits—it's about people. In a single decision, he saved careers, protected families and ensured the continuity of important educational programs. Ratan Tata has once again proven why he's considered a gem of India.  His legacy isn't just in building businesses but in building lives. What are your thoughts on this inspiring act? Let me know in the comments !!

How to lay-off employees! In the 1990s, Tata Steel faced a tough decision: close down or cut the workforce by half. Layoffs were inevitable, but Tata approached it with compassion. They introduced a landmark employee separation scheme: 1. Full salary until the employee’s notional retirement 2. Lifetime medical insurance for employees and their families 3. Continued housing for 3 years Despite skepticism from industry veterans, Tata stood by their values. Fortune later recognized this as one of the top 10 industrial decisions globally. Ratan Tata’s legacy of ethical leadership is unmatched. He leaves behind a remarkable example of empathy in business. #RatanTata #TataGroup #Layoffs #BusinessEthics #Legacy

In the corporate world, Ratan Tata stood out not just for his business acumen but for his deep empathy and unwavering commitment to his employees. During the challenging times of the COVID-19 pandemic, while many companies resorted to layoffs, Ratan Tata took a different approach. He believed that layoffs were not the solution to company problems and emphasized the responsibility companies have towards their employees. One remarkable story that exemplifies his compassionate leadership involves an ex-Tata employee named Vikas Tyagi. After working with Tata for 20 years, Vikas lost his job due to the pandemic. His daughter, believing in Ratan Tata’s integrity and kindness, managed to reach out to him. Ratan Tata personally called Vikas to understand his situation and ensured that he was reinstated in the company. This act of kindness not only restored Vikas’s job but also reinforced the trust and respect employees had for Ratan Tata. Ratan Tata’s philosophy was clear: businesses should show sensitivity to all stakeholders, not just shareholders. He implemented top-level pay cuts within the Tata Group but avoided layoffs, demonstrating his belief that taking care of employees is crucial for long-term success. Ratan Tata’s legacy is a powerful reminder that true leadership is about more than just profits—it’s about people. His actions during the pandemic and throughout his career have left an indelible mark on the Tata Group and the countless lives he touched. #RatanTata

𝐑𝐚𝐭𝐚𝐧 𝐓𝐀𝐓𝐀 once said "𝘛𝘩𝘦 𝘸𝘢𝘺 𝘰𝘧 𝘥𝘰𝘪𝘯𝘨 𝘣𝘶𝘴𝘪𝘯𝘦𝘴𝘴 𝘩𝘢𝘴 𝘵𝘰 𝘤𝘩𝘢𝘯𝘨𝘦 𝘢𝘯𝘥 𝘭𝘢𝘺𝘪𝘯𝘨-𝘰𝘧𝘧 𝘦𝘮𝘱𝘭𝘰𝘺𝘦𝘦𝘴 𝘪𝘴 𝘯𝘰𝘵 𝘵𝘩𝘦 𝘴𝘰𝘭𝘶𝘵𝘪𝘰𝘯" That's right!! 𝐭𝐡𝐞𝐬𝐞 𝐚𝐫𝐞 𝐭𝐡𝐞 𝐩𝐞𝐨𝐩𝐥𝐞 𝐭𝐡𝐚𝐭 𝐡𝐚𝐯𝐞 𝐰𝐨𝐫𝐤𝐞𝐝 𝐟𝐨𝐫 𝐲𝐨𝐮 and served you all their careers. 𝐘𝐨𝐮 𝐬𝐞𝐧𝐝 𝐭𝐡𝐞𝐦 𝐨𝐮𝐭 𝐭𝐨 𝐥𝐢𝐯𝐞 𝐢𝐧 𝐭𝐡𝐞 𝐫𝐚𝐢𝐧? 𝐈𝐬 𝐭𝐡𝐚𝐭 𝐲𝐨𝐮𝐫 𝐝𝐞𝐟𝐢𝐧𝐢𝐭𝐢𝐨𝐧 𝐨𝐟 𝐞𝐭𝐡𝐢𝐜𝐬 when you treat your people and workforce that way? 𝐓𝐡𝐞 𝐓𝐀𝐓𝐀'𝐬 𝐬𝐭𝐫𝐚𝐭𝐞��𝐲 to handle such situation is being taught as a 𝐮𝐬𝐞 𝐜𝐚𝐬𝐞 in many universities like 𝐖𝐡𝐚𝐫𝐭𝐨𝐧 and 𝐋𝐨𝐧𝐝𝐨𝐧 𝐁𝐮𝐬𝐢𝐧𝐞𝐬𝐬 𝐒𝐜𝐡𝐨𝐨𝐥 Let us look at the 𝐞𝐱𝐚𝐦𝐩𝐥𝐞 𝐭𝐡𝐚𝐭 𝐑𝐚𝐭𝐚𝐧 𝐓𝐀𝐓𝐀 𝐬𝐞𝐭! In the 1990s, 𝐓𝐚𝐭𝐚 𝐒𝐭𝐞𝐞𝐥 𝐟𝐨𝐮𝐧𝐝 𝐢𝐭𝐬𝐞𝐥𝐟 𝐚𝐭 𝐚 𝐜𝐫𝐨𝐬𝐬𝐫𝐨𝐚𝐝𝐬. Financial trouble had hit hard and the company had to make a difficult choice - 𝐞𝐢𝐭𝐡𝐞𝐫 𝐬𝐡𝐮𝐭 𝐝𝐨𝐰𝐧 𝐨𝐫 𝐦𝐚𝐤𝐞 𝐭𝐡𝐞 𝐭𝐨𝐮𝐠𝐡 𝐝𝐞𝐜𝐢𝐬𝐢𝐨𝐧 𝐭𝐨 𝐫𝐞𝐝𝐮𝐜𝐞 𝐢𝐭𝐬 𝐰𝐨𝐫𝐤𝐟𝐨𝐫𝐜𝐞 𝐟𝐫𝐨𝐦 80,000 𝐭𝐨 40,000. For a company where jobs were often passed down through generations, 𝐭𝐡𝐢𝐬 𝐰𝐚𝐬 𝐚𝐧 𝐮𝐧𝐢𝐦𝐚𝐠𝐢𝐧𝐚𝐛𝐥𝐞 𝐦𝐨𝐯𝐞. But Tata Steel knew 𝐭𝐡𝐞𝐲 𝐡𝐚𝐝 𝐭𝐨 𝐚𝐜𝐭 𝐭𝐨 𝐬𝐮𝐫𝐯𝐢𝐯𝐞. Instead of simply letting people go, 𝐓𝐚𝐭𝐚 𝐒𝐭𝐞𝐞𝐥 𝐜𝐫𝐚𝐟𝐭𝐞𝐝 𝐚𝐧 𝐞𝐦𝐩𝐥𝐨𝐲𝐞𝐞 𝐬𝐞𝐩𝐚𝐫𝐚𝐭𝐢𝐨𝐧 𝐬𝐜𝐡𝐞𝐦𝐞 that set a new standard for humane layoffs. Those who left were not just dismissed but they were taken care of. 𝐓𝐡𝐞 𝐩𝐥𝐚𝐧 𝐢𝐧𝐜𝐥𝐮𝐝𝐞𝐝: 1. Full salary until their retirement date 2. Lifetime medical insurance for them and their families 3. Company housing for three more years to help them transition 𝐌𝐚𝐧𝐲 𝐭𝐡𝐨𝐮𝐠𝐡𝐭 𝐓𝐚𝐭𝐚 𝐰𝐚𝐬 𝐜𝐫𝐚𝐳𝐲 for being this generous, especially in tough times. But true to the Tata spirit, 𝐭𝐡𝐞𝐲 𝐰𝐞𝐧𝐭 𝐚𝐡𝐞𝐚𝐝 𝐰𝐢𝐭𝐡 𝐭𝐡𝐞𝐢𝐫 𝐞𝐭𝐡𝐢𝐜𝐬-𝐟𝐢𝐫𝐬𝐭 𝐚𝐩𝐩𝐫𝐨𝐚𝐜𝐡. In the end, this decision wasn’t just about cutting costs - 𝐢𝐭 𝐰𝐚𝐬 𝐚𝐛𝐨𝐮𝐭 𝐬𝐭𝐚𝐧𝐝𝐢𝐧𝐠 𝐛𝐲 𝐭𝐡𝐞𝐢𝐫 𝐩𝐞𝐨𝐩𝐥𝐞. Fortune even recognized this move as one of the 𝐭𝐨𝐩 10 𝐛𝐞𝐬𝐭 𝐢𝐧𝐝𝐮𝐬𝐭𝐫𝐢𝐚𝐥 𝐝𝐞𝐜𝐢𝐬𝐢𝐨𝐧𝐬 𝐞𝐯𝐞𝐫 𝐦𝐚𝐝𝐞. 𝐓𝐡𝐢𝐬 𝐢𝐬 𝐚 𝐬𝐭𝐨𝐫𝐲 𝐭𝐡𝐚𝐭 𝐧𝐞𝐞𝐝𝐬 𝐭𝐨 𝐛𝐞 𝐫𝐞𝐦𝐞𝐦𝐛𝐞𝐫𝐞𝐝. Ratan Tata’s legacy is one of compassion and responsibility - 𝐬𝐨𝐦𝐞𝐭𝐡𝐢𝐧𝐠 𝐭𝐡𝐚𝐭 𝐰𝐢𝐥𝐥 𝐢𝐧𝐬𝐩𝐢𝐫𝐞 𝐛𝐮𝐬𝐢𝐧𝐞𝐬𝐬𝐞𝐬 𝐟𝐨𝐫 𝐲𝐞𝐚𝐫𝐬 𝐭𝐨 𝐜𝐨𝐦𝐞. #RatanTATA #EmployeeLayoffs #Strategy #TATASteel #TATAGroup

How to lay-off employees! The TATA way… The TATA way of handling layoffs during a critical time in the 1990s is a remarkable example of humane leadership. Facing the prospect of downsizing from 80,000 to 40,000 employees, Tata Steel chose to implement a compassionate employee separation scheme. Key features of this scheme included: 1. Full Salary Until Retirement: Employees received their full salary up to their notional retirement date. 2. Lifetime Medical Insurance: Comprehensive medical coverage was provided for both employees and their families. 3. Housing Support: Separated employees could continue living in company-provided housing for three years while they sought new accommodation. Despite skepticism from industry veterans, Tata Steel prioritized the welfare of its employees, demonstrating a commitment to ethical business practices. This decision was later recognized by Fortune as one of the top 10 best industrial decisions in history, highlighting Ratan Tata’s legacy of compassion and integrity in leadership. #RatanTataPassedAway #RatanTata #tatagroup #layoffs #culture

Reliance Industries Limited Layoffs: A Surprise for Many It’s surprising to hear that Reliance Industries is letting go of 11% ( 42000 )of its workers. We’ve always thought of big Indian companies like Reliance, Tata, and Adani Group as strong and steady, even in tough times. It’s disappointing to see Reliance taking this step. We need to understand why this is happening. Are there real problems with the business, or are there other reasons? As Anupam Mittal pointed out, the lack of widespread coverage about these layoffs is concerning. This should serve as a wake-up call for all corporations. I’m proud of Tata Group and especially Adani Group for their resilience. Despite the numerous challenges faced by Gautam Adani there have been no layoffs. This demonstrates a strong commitment to employees. Companies should always care about their workers. We hope Reliance will be clear about what’s going on and how it will help the people who are losing their jobs. #Reliance #Layoffs #Jobs #IndianEconomy #Tata #Adani

The Man Who Saved Employees from Layoffs -In today's world, where many companies are laying off their employees, Ratan Tata saved the jobs. -In June 2024, Ratan Tata saved over 100 TISS employees from losing their jobs. -Employees received termination letters due to a lack of funding at TISS. -TISS administrators had been asking for funds from the Trust for six months. -They struggled to keep operations running without financial support. -On June 28, termination letters were given to 55 teaching and 60 non-teaching staff across Mumbai, Tuljapur, Hyderabad, and Guwahati campuses. -When Mr. Ratan Tata learned about the situation, he quickly secured the necessary resources. -He released Rs 5 crore from Tata Education Trust (TET) to cover expenses for the next 5 to 6 months. -Now, TISS has decided to reappoint the staff and bring all resources back to the institute. THE REAL HERO INDIA 🇮🇳 RATAN TATA🫡 Image Credit: Business Today —————————— Follow Ankit Kunwar for more☀️ #layoffs #jobs #tata #corporate #lessons #learnings #networking

Reliance Industries Limited laid off 42K employees a few days back. ₹5000 crores could have saved 42,000 jobs for over 3 years. Instead, it went to the single most expensive wedding in India —let’s talk about their priorities. After hiking Jio's recharge prices, the company laid off 11% of its workforce primarily from its retail division in just one year. Meanwhile, the Ambani family reportedly spent ₹5000 crores on Anant Ambani's wedding celebrations. This stark contrast has left many questioning the company's priorities and values. Let’s break it down: - Job Cuts: RIL slashed its workforce from 3.89 lakh to 3.47 lakh in FY 2023-24. - Retail Hit Hard: The retail segment saw a drop in employee numbers from 2.45 lakh to 2.07 lakh. - Store Closures: Only 800 new stores were added in FY24, compared to 3,300 in FY23. - Wedding Extravaganza: An estimated ₹5000 crores was spent on Anant Ambani's wedding. While companies sometimes need to make tough decisions for efficiency, the scale of these layoffs, paired with such lavish spending, raises serious questions about corporate responsibility and wealth inequality in India. It’s crucial for large corporations to balance business needs with social responsibility. In a country where job creation is a major challenge, how do we reconcile massive layoffs with extravagant personal spending? What are your thoughts? #layoffs #socialresposibility