Textiles and apparel maker Raymond has allegedly laid off over 1,000 of employees, since February. The company had started the process due to varied reasons like the group company's mounting debts, the slowing down of the economy and the last hammer to the coffin was the COVID-19 crisis, reported .
It was found that the company not just laid off the staff members, but also failed to pay the severance of the existing staff.
The report went on to highlight the plight of the employees. The company denied any wrongdoings and stated that news of laying off employees is incorrect and based on speculation. However, the company confirmed that it has adopted some cost-cutting measures but didn't mention anything about sacking people.
Some employees, who were fired in February, were informed that they will receive their three months' salary. But the company only paid them their complete salary for the month of March and for the month of April, the only basic salary was offered. Some received only 25 per cent of their salary. Meanwhile, the company maintained that salaries for both months were disbursed without any delay.
It was stated that the employees who were not ready to leave, the company had threatened to take stern action.
It is alleged that the chairman Gautam Hari Singhania issued a video on tough times faced by the industry.
The company has seen a decline in its market value for some time now.
For over the last few weeks, many companies like Uber, Swiggy, Zomato, Indiabulls among others have been laying off people.
Recently, the textile player Raymond said that the ownership of Raymond brand will remain with the demerged new lifestyle company. The company had earlier announced separation of the consumer and lifestyle businesses into a separate entity.