Image Credit : business-standard.com
Coal India Limited, one of the largest mining company on Tuesday reported that it will cut down around 5 per cent manpower every year for the following 5-10 years. The company put forward that the main reason for the phenomenon is to bring down the costs.
As of now, the mining company posses a strength of around 2,72,445 employees since FY20, the company disclosed in the earnings call a day after affirming its March quarter results.
On June 14, the company reported a marginal 1.1 per cent drop in its consolidated profit at Rs 4,586.78 crore for the quarter that concluded in March 2021 on the back of lower sales.
The company earlier informed that its consolidated sales in the period between January-March fell to Rs 24,510.80 crore from Rs 25,597.43 crore in the March quarter of the past year. On the other hand, the expenses during the fourth quarter (Q4) of FY 2020-21 declined to Rs 21,565.15 crore from Rs 22,373.046 crore in the previous year.
Earlier the Coal Ministry report suggested that the company has 114 coal projects that are at different level of implementation. Though it even stated that the completion of projects depends on the grounds of critical extraneous factors like possession of land, green clearance and evacuation infrastructure.
The report too stated that in the year 2020, 34 projects were sanctioned while nine mining projects were concluded by the company. Coal India that accounts for around 80 per cent of domestic coal output is looking forward to one billion ton production by 2023-24.