Budget hotel chain FabHotels has laid off over 100 of its employees as a result of its 'resource optimization' exercise.According to an impacted employee, over 100 employees of the company are being laid off mainly from operations, tech, sales and supply acquisition teams.
A letter by the company to a sacked employee said "as per the telephonic discussion with your reporting manager a few days back, we are writing to inform you that as a result of our resource optimization exercise, your position will be redundant going forward".
Hence, "we would not be able to continue your employment with FabHotels. Your last date of employment with the company shall be March 30, 2020 in line with the contractual notice period," it added. An email sent to FabHotels founder Vaibhav Aggarwal on Friday remained unanswered till the time of filing the story.
In another mail to the company's employees, Aggarwal said travel and hospitality industry continues to be standstill driven by lockdowns in major cities around the world. "Our revenues have also been hit extremely hard this month and it appears April is going to be even worse," it added.
The letter said to tide over this crisis and come out fighting fit on the other end, the company needs everyone's support and would require sacrifices from 'all of us'.
While the founders will take a 25 per cent cut, the company would be instituting a pay cut for other employees too based on CTC. The pay cut would be 15 per cent for all employees at CTC of less than Rs 25,000 per month and will be 20 per cent for those with more than 25,000 per month.
INDIA CORONAVIRUS TRACKER: BusinessToday.In brings you a daily tracker as coronavirus cases continue to spread. Here is the state-wise data on total cases, fatalities and recoveries in one comprehensive graphic