Tata Sons
Amid the ongoing Iran war, global businesses are facing mounting pressure, and India’s corporate sector is no exception. Tata Sons Chairman N. Chandrasekaran has urged over 30 CEOs and managing directors across the Tata Group to brace for a tougher business environment.
During a recent review meeting, company leaders highlighted concerns over supply chain disruptions and rising commodity prices, which are expected to weaken demand while pushing up operational costs. These challenges could significantly impact profit margins. Executives also warned that production levels may fall below installed capacity, while infrastructure and expansion projects could face delays due to supply shortages and underutilisation of manpower.
Beyond business concerns, Chandrasekaran emphasized the well-being of nearly 10,000 Tata Group employees currently stationed in the affected Middle East region. He called for immediate measures to support not only permanent staff but also temporary workers. Stressing the importance of mental health, he said companies must address anxiety and stress-related issues faced by employees and their families.
The employees in focus include those from Voltas, Tata Consultancy Services, Indian Hotels Company Limited, and Titan Company, including Titan’s Damas business. Steps are also being taken to ensure their safe return to India.
As part of contingency measures, the group has facilitated Saudi Arabia visas through the Indian Embassy for employees in Qatar and supported their relocation from Doha to Riyadh via land border crossings.
Chandrasekaran further advised companies to conserve cash, manage liquidity carefully, and reassess project timelines in light of the evolving situation.
The Iran conflict has now entered its 35th day, with tensions escalating across the Middle East. In a recent development, Iranian Shahed drones reportedly struck two Amazon Web Services data centres in the United Arab Emirates, while another commercial data centre in Bahrain was also hit, though the intent remains unclear.
Separately, Iran claimed it targeted a data centre operated by Oracle Corporation in Dubai, a claim denied by the UAE authorities.
The crisis has increasingly impacted IT firms. Oracle Corporation has reportedly laid off around 12,000 employees in India, with another round of job cuts expected soon. The company, which employs nearly 30,000 people in India, has not yet issued an official statement on the layoffs.
Reports suggest that affected employees must complete paperwork via DocuSign to receive severance benefits—making compliance mandatory for payouts.
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