Dr Reddy’s Laboratories, the pharmaceutical giant based in Hyderabad, had summarily denied the reports that claimed that the company was seeking ways to cut workforce costs by 25%
The media reports that started to make their rounds on April 14, 2025, claimed that Dr Reddy’s had issued an internal directive meant to reduce workforce costs by 25%. The reports further claimed that, as a part of this initiative, many high-salaried employees were asked to resign, which included several people earning over one crore annually. The numbers, according to Business Standard, came from a reliable source.
In response to the news, Dr Reddy’s issued a statement denying the claims. “We wish to clarify that the said news is factually incorrect. We categorically deny the claim of a 25% workforce cost reduction and the other claims mentioned in the said news article,” the company stated.
As per Dr Reddy’s annual report for FY 2024, the company employed 26,343 globally as of March 31, 2024, with 21,757 being permanent members of the workforce. The company had spent ₹5,030 on employee benefits and ₹39.2 crore on training and development. It also highlighted that 92% of its workforce went through the reskilling and upskilling process in the year.