Winning Bizness Desk

Mumbai. Unemployment continues to loom as a significant issue for India’s large youth population, and recent data reveals a troubling trend. In the past financial year, over 52,000 jobs were lost across India's retail sector, with major companies like Reliance Industries, Tata Group, Raymond, and others contributing to these cuts. A latest report highlights that the retail sector, which is often seen as a key employment generator, witnessed substantial layoffs in the financial year 2023-24. The annual reports of several major retail companies indicate that 52,000 employees lost their jobs, reflecting the industry's struggles amid economic uncertainties and shifting business strategies.

Among the companies leading these layoffs is Reliance Retail, a subsidiary of Reliance Industries. The company, which is the largest player in the domestic retail market, reduced its workforce by approximately 38,000 employees. According to Reliance Industries' annual report, the total number of employees in its retail sector fell to 2,07,552 by the end of March 2024, down from 2,45,581 the previous year. This marks a significant reduction in its workforce, representing nearly 60% of its total employees.

Other Major Layoffs in the Retail Sector

Reliance Retail is not the only major company in the sector to have cut jobs. Titan, another prominent player under the Tata Group, also saw a reduction in its workforce. The number of employees at Titan decreased by 8,569, bringing the total down to 17,535. Similarly, Page Industries, known for its Jockey brand, reduced its workforce by 4,217 employees, ending the financial year with 22,564 workers. Together, the layoffs in Reliance Retail, Titan, Page Industries, Raymond, and Spencer's totaled 52,000 job losses, painting a bleak picture for employment in the retail sector.

Contrasting Trends: Workforce Growth in Some Retail Companies

However, not all companies in the retail sector have reduced their workforce. In contrast, some companies have expanded their employee base. Tata Group’s Trent, for example, increased its workforce from 19,716 in FY 2022-23 to 29,275 in FY 2023-24. Similarly, D-Mart, another major retailer, saw its employee count rise from 60,901 to 73,932. V-Mart and Jubilant FoodWorks also reported increases in their workforce numbers.

Impact Beyond Retail: Job Cuts in Reliance Jio

The layoffs were not confined to the retail sector. Reliance Industries also reduced its workforce in other divisions, including Reliance Jio. The telecom giant saw a decrease in its employee numbers from 95,326 to 90,067 by the end of March 2024. These widespread layoffs across major sectors highlight the ongoing challenges in the Indian job market, as companies navigate through economic pressures and evolving market conditions. The situation underscores the need for policy interventions to address unemployment and provide support to the affected workforce.