Mumbai: French carmaker Renault India is offering incentives to more than 250 employees, who can pay up to 15% for the fiscal year after recording a growth in 2019, bucking the trend.
Despite the cash flow of the lockdown drying up, Renault India Private Limited (RIPL) has gone ahead with the promotion of more than 30 officers, effective August. Riding on the success of the tripod MPV and a small SUV ready for the festive season, the company wants to ensure that staff morale remains sustained.
Interestingly, the increase for FY15 is larger than FY20 for RIPL, with the company offering just 10–12%.
The salary increase is for RIPL employees only and does not include the alliance plant with Nissan and R&D organization Renault Nissan Technology Business Center India.
The legal entity Renault India manages other support functions such as sales and marketing, product planning and program management, customer service, quality and finance, human resources, IT, admin and communications. An email sent to Renault India did not elicit any response.
Experts said that Renault India is well placed in the current uncertain environment. With disposable income hits and reduced cash flow, Personal Mobility will transform the portfolio of more affordable vehicles and Renault’s four-car portfolio into a sub-portfolio 8 million bracket, with hatchbacks, a sedan, MPV and SUVs the company can offer. Edge over rivals.
The company expanded financial support to dealers in the form of collateral-free loans to pay salaries of employees, in addition to an increasing margin of 200–300 basis points on cars and spare parts. Renault also decided to bear the interest cost on the unsold inventory at the dealers.