Anupam Mittal, the founder of Shaadi.com, recently raised eyebrows about the seemingly low-key news of Reliance Industries Ltd.’s substantial job cuts. Mittal expressed concern that such significant news, involving a major Indian conglomerate, should be triggering serious discussions within economic and political circles. The concern stems from a report in the Economic Times, which revealed that Reliance Industries had reduced its workforce by 42,000, or 11%, during the 2023-24 fiscal year compared to the previous year. This translates to a total employee count dropping from 389,000 in 2022-23 to 347,000 in 2023-24.
The layoffs were particularly noticeable in the retail sector, highlighting a shift in the company’s priorities. Further analysis of Reliance’s annual report revealed a sharp decline in new hires, with 170,000 fewer additions to the workforce, representing a decrease of over one-third. This significant reduction in hiring further underscores the company’s strategic move towards workforce optimization. An anonymous analyst quoted in the report suggests that Reliance’s maturing new business ventures and digital initiatives have enabled the company to streamline operations. The analyst also hinted at potential future hiring increases driven by new business opportunities and strategic changes. While the company appears to be adjusting its workforce to align with current needs, the magnitude of these job cuts, particularly in a major conglomerate like Reliance, has sparked concerns about their potential ripple effects on the wider economy.
