L&T’s SN Subrahmanyan Sparks Controversy with Comments on Labour Mobility and Government Schemes
L&T's SN Subrahmanyan Sparks Controversy with Comments on Labour Mobility and Government Schemes
Mr. Subrahmanyan highlighted that India is confronted with a unique challenge regarding migration
Larsen & Toubro Chairman SN Subrahmanyan is currently facing controversy regarding workers’ hesitance to relocate, attributed to the presence of government welfare programs. This situation arises just a week after his comments about a 90-hour workweek sparked extensive discussions on the topic of work-life balance.
Subrahmanyan addressed the CII’s Mystic South Global Linkages Summit 2025 in Chennai on Tuesday, highlighting the challenges in recruiting workers for the construction sector. He noted that many individuals are hesitant to leave their hometowns, prioritizing comfort over job opportunities. Additionally, he pointed out that initiatives such as MGNREGA, direct benefit transfers, and JAN DHAN accounts may be influencing labor mobility.
Subrahmanyan highlighted that India is confronted with a unique challenge regarding migration, as L&T needs 400,000 workers but ends up hiring 1.6 million due to attrition rates. He emphasized the importance of adjusting wages for workers in line with inflation, noting that the Middle East attracts labor by offering salaries that are three to 3.5 times higher than those in India.
“Labour is not willing to move for opportunities. Maybe their local economy is doing well, maybe it is due to the various government schemes,” he had said.
The Chairman of Larsen & Toubro expressed last month his desire for employees to consider working on Sundays as well. He remarked, “What do you do sitting at home? How long can you stare at your wife? Come on, get to the office and start working,” noting that he himself dedicates Sundays to his professional responsibilities.
This discussion attracted the attention of several prominent industry figures, including Adar Poonawalla, Anand Mahindra, and Sanjiv Puri from ITC, who emphasized the importance of maintaining a work-life balance to enhance productivity. The issue was subsequently brought to the attention of Parliament, where the government clarified last week that it is not contemplating any proposals to extend the maximum working hours to 70 or 90 hours per week.
