Ceat to Reduce Mumbai Workforce by 25%

India’s Ceat Ltd is said to be reducing the 2,000 strong workforce at its facility in Bhandup, Mumbai by as much as a quarter in order to reduce costs. This plant will also soon be relocated to the city of Ambernath, and before this takes place Ceat intends to offer voluntary redundancy to employees over the age of 56. The hiring of new workers at the Bhandup facility has not taken place for about two years.

“We can save costs by relocating to Ambernath,” said Ceat managing director Paras Chowdhary. “The company will also unlock value by selling the 23 acres of Bhandup land. The money will be invested in funding our expansion plans. He added that the company will save Rs170 million (£2.13 million) in local taxes by relocating in addition to lowering operating costs.