Bata India Approves Voluntary Retirement Scheme for Hosur Manufacturing Unit Workers

Bata India has approved the introduction of a voluntary retirement scheme at its Bata Shatak manufacturing unit in Hosur, Tamil Nadu. The decision was taken by the company’s board of directors at its meeting held on January 8, 2026.

The scheme will be offered to all eligible workers at the Hosur facility. The company has stated that further details related to the scheme’s implementation and financial impact will be disclosed subsequently.

Board Approval for Voluntary Retirement Scheme

The board of directors of Bata India Limited formally approved the voluntary retirement scheme during its meeting on January 8, 2026. The scheme will apply specifically to eligible workers employed at the Bata Shatak manufacturing unit located in Hosur.

According to the company, the initiative is intended to be voluntary in nature and applicable across the eligible workforce at the unit. No exclusions or phased rollouts have been announced by the company at this stage.

Implementation Status and Disclosure Approach

Bata India stated that it has not yet determined the full financial implications of the voluntary retirement scheme. The company noted that an assessment will be conducted over time to evaluate the impact arising from employee participation.

This assessment will cover costs and other material considerations linked to the scheme. Any such information will be disclosed once it meets the company’s threshold for materiality.

Recent Financial Performance Context

In Q2 of the current financial year, Bata India reported a sharp year‑on‑year decline in consolidated net profit. Profit after tax fell 73.26% to ₹13.9 crore compared with ₹51.98 crore in the same quarter of the previous year.

The decline was attributed to lower revenue and higher expenses during the period. The company cited challenges linked to the transition to the new GST 2.0 regime.

Read More: Campus Activewear Share Price in Focus After Q2 FY26 Earnings Results.

Conclusion

Bata India Limited has approved a voluntary retirement scheme for eligible workers at its Hosur manufacturing unit. The company has adopted a cautious disclosure approach, stating that implementation details and financial impact will be assessed and disclosed over time.

The scheme will be offered to all eligible workers and is expected to be mutually beneficial, according to the company. The announcement comes amid a period of weaker financial performance, with Q2 profits showing a significant year‑on‑year decline.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.