Tata Group that has companies in sectors such as airlines, hotels, auto businesses and financial services have cut salaries of the top management by 20 per cent amid COVID-19 pandemic
Ratan Tata. Picture/AFP
Business magnate Ratan Tata said that companies laying off employees amid the COVID-19 pandemic shows lack of empathy among the top leadership of the firms. In an interview with Your Story, the Tata sons chairman emeritus asked why the employees are being 'sent out to live in the rain' and questioned their definition of ethics of 'treating the labour force that way'.
"These are the people that have worked for you. These are the people who have served you all their careers. You send them out to live in the rain. Is that your definition of ethics when you treat your labour force that way?” Tata was quoted by the website as saying.
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Tata’s comments have come at a time when many Indian companies have laid off their employees due to lack of cash flow after the nationwide lockdown due to the COVID-19 pandemic. On the other hand, Tata Group that has companies in sectors such as airlines, hotels, auto businesses, and financial services have cut salaries of the top management by 20 per cent.
“COVID-19 hits you wherever you are. Whatever your reasons may be, you have to change in terms of what you consider fair or good or necessary in order to survive,” Tata said, adding that it is impossible to survive as a company if one’s not sensitive to its people.
“While everyone chases profits, the question is how ethical the journey has been. Business is not only about making money. One has to do everything right and ethically for customers and stakeholders,” he said.
He emphasised on doing the right thing at every turn and not shying away from taking difficult decisions, even as making mistakes is a part of doing business.
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