- विज्ञापन -
Pharma giant Dr Reddy’s Laboratories has launched a major downsizing initiative as it looks to reduce workforce costs. As per reports, the workforce of the pharma giant will be cut down by nearly 25%.
Several senior executives, particularly those earning over ₹1 crore annually, have reportedly been asked to resign from the company. Employees in the 50–55 age group from the company’s research and development (R&D) division have been offered voluntary retirement packages.
The downsizing appears to be part of a broader effort to improve operational efficiency. Analysts cited in the report noted that the company has expanded aggressively in recent years, venturing into areas like nutraceuticals—through a joint venture with Nestlé—and digital therapeutics.
However, if these new businesses have not performed as expected, a reduction in team size may have become necessary. Reportedly, the therapeutics division of the company may altogether be closed, while the nutraceuticals arm may see some curtailment. As per reports, it may lead to layoff of nearly 300-400 people.
Dr Reddy’s reported combined employee benefit expenses of ₹1,367 crore in Q3 FY25, up 7% from ₹1,276 crore in the same quarter the previous year.
Meanwhile, the company’s stock has dropped nearly 19% so far in 2025. On April 11, shares closed 1.46% higher at ₹1,110 apiece.
