Two weeks after it placed employees in the U.S. and around the globe on furlough but stated it would not do so for employees in India during the country's lockdown, India-based Oyo Rooms confirmed it will commence with voluntary leaves with limited benefits for some employees in India beginning May 4, the day after the country's extended lockdown currently is scheduled to end. The leaves are scheduled through August 2020. The company also confirmed it has reduced the salaries of Indian employees by 25 percent from April through July.
"Our company is taking a difficult but necessary step for India, whereby we are asking all OYOpreneurs to accept a reduction in their fixed compensation by 25 percent, effective till July 2020 payroll," said Oyo CEO for India and South Asia Rohit Kapoor, adding that those going on leave will receive limited benefits including continuation of medical and parental insurance and school fee reimbursement. In addition, they will receive an amount equal to 60 percent of their monthly fixed salary, paid in equal installments in May and June, according to a company spokesperson.
The coronavirus outbreak has hit the fast-growing company hard in recent months. Oyo went through a major restructuring in January, with thousands of employees laid off in India and China, followed by the additional global cuts in early April. In February, Oyo CEO Ritesh Agarwal spoke to BTN about future plans for the company. He also was among BTN's 2019 25 Most Influential individuals in business travel.
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