Singapore: Suzlon Group is planning to cut its workforce by 2,000-2,500 worldwide, sources told NDTV Profit. It currently has an employee strength of 13,000 globally.
Sources said the debt-laden company is looking to cut workforce as part of its revival strategy.
Suzlon had posted a third straight year of loss in FY12 to the tune of Rs 480 crore. Its total employee costs in FY12 stood at Rs 480 crore, which is 30 per cent of what it gets from sales.
Suzlon confirmed a headcount reduction, saying it was part of a project aimed at reducing fixed costs, but did not specify any numbers. It aims to cut fixed costs by 20 per cent at a group level on an annual basis.
The company expects FY'13 to be a defining year, and is working to cut overall interest burden. It is confident of meeting the $209 million FCCB obligation due October 12. Some senior secured lenders have cut interest rates by 2.5 per cent, it noted.
Sources said the debt-laden company is looking to cut workforce as part of its revival strategy.
Suzlon had posted a third straight year of loss in FY12 to the tune of Rs 480 crore. Its total employee costs in FY12 stood at Rs 480 crore, which is 30 per cent of what it gets from sales.
Suzlon confirmed a headcount reduction, saying it was part of a project aimed at reducing fixed costs, but did not specify any numbers. It aims to cut fixed costs by 20 per cent at a group level on an annual basis.
The company expects FY'13 to be a defining year, and is working to cut overall interest burden. It is confident of meeting the $209 million FCCB obligation due October 12. Some senior secured lenders have cut interest rates by 2.5 per cent, it noted.
