The after-effects of the impact of Coronavirus on the corporate sector is now reflecting and have started giving worrisome news for people working in this sector. India’s wealthiest industrialist and CEO of Reliance Industries Mukesh Ambani has taken a firm decision which will affect him and his employees. The income of Mukesh Ambani, as well as the revenue of his company, was continuously declining. Now the company has decided to cut the salary of the employees. Mukesh Ambani will not take his salary this year, and the wages of the employees of the company will also get reduced by up to 50 per cent.
Reliance has rolled pout emails to their employees in which this information is given. Reliance employees with a salary above Rs 15 lakh will get a reduced wage by 10 per cent, while senior officers will get their salary reduced up to 30 to 50 per cent. The company has given relief to employees earning less than 15 lakh salary. According to the email, Reliance will continuously review the economic and business situation and will explore through increasing its income. Moreover, as the head of Reliance Industries, Ambani takes a salary of Rs 15 crore annually. There has been no change in his salary since 2008-09.
Since 25th March the whole country is under lockdown to prevent the spread of coronavirus epidemic. People got forced to live in homes which have reduced the market demand, which is impacting the business. Reliance’s refinery business is also severely affected by this lockdown.
Reliance stated, “The hydrocarbon business has been badly affected by Corona’s crisis.” Demand for refined products and petrochemicals has decreased worldwide. Due to this, our hydrocarbons business has a direct impact. In such a situation, now Reliance has to decide to reduce all-round costs. ‘The pay cut in the Reliance group is sending a worrying message to the Indian market and economy that the situation is not right in the country.