MAM
Jaguar Land Rover to lay off a third of India workforce
NEW DELHI: Tata Group-owned Jaguar Land Rover (JLR) is undertaking its biggest ever retrenchment drive in its India operations, slashing its workforce by nearly a third, according to a report by Business Today.
The layoffs, which have already started and are expected to continue through this month, are part of its global strategy to shed about 2,000 non-manufacturing jobs by next fiscal, reported two weeks ago. JLR had also reduced its global headcount by 1,000 in 2018 and another 4,500 in 2019. These are part of its ongoing restructuring drive Project Charge+ through which it aims to save about £2.5 billion.
The news of restructuring was a "shocker" to the automaker's India workforce, who believed that they would be spared due to the small market JLR has in the country, Business Today quoted a source as saying. Moreover, there was a false sense of complacency that because JLR's parent firm Tata Motors is an Indian entity, it would not touch its Indian employees.
JLR issued a statement clarifying that the layoffs were being undertaken to increase efficiency in a bid to find the right cost structure for its workforce. It did mention the number of employees being retrenched, details of the severance package being offered to them, or whether the salaries of the top management have been slashed.
JLR is considered a straggler in the Indian luxury car market, which itself has not grown by much in the last five years. The British brands saw their sales decline by 74 per cent in 2020 and a loss of market share of 10.62 percentage points. In comparison, the biggest in the business – Mercedes Benz – saw a 43 per cent decline, BMW by 32 per cent and Audi by 63 per cent.
Last month, JLR's global CEO Thierry Bollore, who took over the reins of the company only last September, said the Jaguar brand would move away from its iconic high-performance internal combustion engines entirely and produce only electric vehicles by 2025, while Land Rover will have its first fully electric SUV by 2024.
Brands
Jubilant FoodWorks faces Rs 47.5 crore GST demand, plans appeal
Tax authorities flag alleged misclassification of restaurant services
MUMBAI:Â Jubilant FoodWorks Limited has landed in a tax tussle after receiving a GST demand of Rs 47.5 crore from the office of the additional commissioner of CGST and central excise in Thane, Maharashtra.
The order, issued under the provisions of the Central Goods and Services Tax Act, 2017, relates to an alleged incorrect classification of certain services under the category of restaurant services. According to the tax authorities, this classification resulted in a short payment of goods and services tax for the period between the financial years 2019-20 and 2021-22.
The demand includes Rs 47.5 crore in GST along with an equal amount as penalty, in addition to applicable interest. The order was received by the company on March 13, 2026.
In a regulatory filing to the BSE Limited and the National Stock Exchange of India Limited, the company said it disagrees with the order and believes its arguments were not adequately considered.
The company is preparing to challenge the decision and plans to file an appeal. It added that once the redressal process is complete, the demand is likely to be dropped.
Despite the sizeable figure attached to the notice, the company said it does not expect any material impact on its financials, operations or other activities.
The disclosure was signed by Suman Hegde, EVP and chief financial officer, who confirmed that the company received the order at 19:06 IST on March 13 and has already initiated steps to contest it.
The development places the quick service restaurant major in the middle of a tax debate that could hinge on how certain restaurant-linked services are classified under GST rules. For now, the company appears ready to take the matter from the tax office to the appeals desk.
