Sterlite Technologies (STL) has reduced the salaries of nearly half of its 3,500 employees by 15 to 25 per cent. This decision was taken because the company is facing tough business conditions, worsened by a lack of new orders, putting a lot of pressure on the company.
In 2023, Sterlite Technologies made some big changes. The restructuring led to approximately 100 executives, including high-ranking managers, losing their jobs.
After this reorganisation, the company decided to sell off some parts of its non-core business because the market was changing. To tide over the financial difficulties STL sought out ways to save money and cut costs. Based in Pune, Maharashtra, STL specialises in optical and digital technology.
Employees at higher executive levels, particularly those in Band 4 and above, were affected by the salary reductions, causing a lot of uncertainty among the staff. Although STL officially denied implementing pay cuts, it admitted to temporarily restructuring compensation for mid- to senior-level employees to adjust to market conditions.
Last year, that is, 2023,Pravin Agarwal, vice chairman and whole-time director, STL, received a salary of Rs 8.17 crore, while Ankit Agarwal, the managing director, STL, received Rs 3.94 crore, according to the company’s annual report.
