Pharma big Dr Reddy’s Laboratories is reportedly slicing workforce-related prices by almost 25%, signaling one of the crucial aggressive company restructurings within the Indian pharmaceutical sector in recent times.
The fee-cutting drive is prone to influence the Analysis & Growth (R&D) division essentially the most. (iStock)
Based on a report by Enterprise Normal, a number of senior executives have been requested to resign, together with many workers within the ₹1 crore-plus wage bracket.
The fee-cutting drive has not spared long-timers as workers within the 50-55 age group, notably within the Analysis & Growth (R&D) division, have reportedly been provided voluntary retirement.
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Whereas the corporate hasn’t issued an official assertion and HT couldn’t independently confirm the report, sources advised Enterprise Normal that the cost-cutting is prone to have an effect on high-salaried professionals in management and mid-senior roles.
Dr Reddy’s lately acquired present trigger discover from the IT dept
Final week, Dr Reddy’s Laboratories Ltd stated it had acquired a show-cause discover from the revenue tax authority with a proposed demand of over ₹2,395 crore from it associated to the merger of Dr Reddy’s Holding Ltd (DRHL) with itself.
The corporate acquired a present trigger discover on April 4, 2025, from the workplace of the Assistant Commissioner of Earnings Tax, Hyderabad, Dr Reddy’s Laboratories Ltd stated in a regulatory submitting.
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It requires the corporate to reply as to why discover shouldn’t be issued for the evaluation of revenue alleged to be escaped from tax consequent to the merger of DRHL into Dr Reddy’s Laboratories Ltd (DRL) below the scheme of amalgamation permitted by the Nationwide Firm Legislation Tribunal (NCLT), Hyderabad on April 5, 2022, the submitting added.
Monetary efficiency nonetheless robust
In January, Dr Reddy’s Laboratories stated its consolidated web revenue elevated 2 p.c to ₹1,413 crore within the third quarter that ended December 31, 2024, pushed by strong efficiency throughout markets.
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The Hyderabad-based drug main had reported a revenue of ₹1,379 crore for the October- December interval of the final fiscal.
Income elevated to ₹8,359 crore from ₹7,215 crore a yr in the past, Dr Reddy’s Laboratories stated within the assertion.