Advertisement

Over 2 lakh RIL employees to receive bonus

RIL also observed one of the largest hiring initiatives in Corporate India in the fiscal year 2020-21, adding a total of 75,000 people to its payrolls

?

Photo Credit : Representative image,

On May 3, Reliance Industries(RIL) announced a bonus or variable payout for its two lakh employees for the fiscal year 2021 following growth in profits of 35% (₹ 53,739 Crores) in 2020-21.  This bonus will be extended to the employees of five divisions including the oil-to-chemicals business (O2C) and consumer (Retail & Telecom). 

RIL also observed one of the largest hiring initiatives in Corporate India in the fiscal year 2020-21, adding a total of 75,000 people to its payrolls. Around this time, RIL’s employee benefits expenses also increased by five per cent to ₹ 14, 817 crores.


O2C Woes

Tracing the trajectory of the numbers, the consumer segment of RIL has contributed significantly owing to the shift to online shopping for goods and data for both personal and professional reasons. The O2C wing, however, witnessed a sharp decline as the pandemic affected the market demand for jet fuels where their operating profit fell by 29 per cent. The O2C employees who are now excepted to receive the bonus took a salary cut in April 2020. Those who were earning ₹ 15 Lakhs or more annually, took a 10 per cent cut and the performance-linked incentives too, were deferred.

Following this, Mukesh Ambani, Chairman of RIL, gave up his salary for the entirety of the last financial year, amounting to ₹ 15 crores. This prompted RIL to reverse its earlier decision on pay cuts, six months post announcement and also released bonuses of employees that had been previously deferred. 



Advertisement

Around The World