GS Engineering begins slashing India headcount

Vol 20, PW 1 (22 Sep 16) People & Policy
     

South Korean EPC contractor GS Engineering & Construction isn't a name you instantly associate with India but behind the scenes it has been operating in the country since 2006 as subcontractors on refinery and petrochemicals jobs across South Asia and the Middle East.

Is GS now a bellwether for the future of the EPC industry in a depressed market where some predict the crash in investments could last another year? PETROWATCH learns drastic job cuts are imminent among the company's workforce of 300 at the Mumbai office and 150 at the Delhi office. Hyouk-tae Kwon, CEO and MD of the Indian subsidiary GS E&C Delhi, sent out a two-page letter on September 1 to staff in the Mumbai and Delhi offices with details of a Voluntary Retirement Programme - a polite method of laying off staff which complies with Indian labour laws protecting a unionised workforce.

Those 'selected' for voluntary retirement will be informed by September 23 but can continue in their roles until October 7. All 'regular' employees who joined on or before October 1, 2015 and with a March 2016 performance appraisal result of B+ or below are eligible and so are employees who joined on or after October 2, 2015 but who don't have a Performance Rating.

Eligible employees were required to apply for the scheme by September 16.

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