Maruti Suzuki Shares Fall Over 3% On Temporary Workforce Cut

Marutri Suzuki shares fell over 3 per cent on Monday after the country's largest carmaker cut the number of workers it employs on temporary contracts following a plunge in vehicle sales. The company said it employed 18,845 temporary workers on average during the six months ended June 30, down 6 per cent, or 1,181 people, from the same period last year, adding that job cuts had accelerated since April, according to news agency Reuters. The vehicle industry is facing one of its worst slowdowns in nearly a decade, with vehicle sales falling rapidly.

On the National Stock Exchange (NSE), Maruti Suzuki shares opened lower at Rs 5,600 apiece and dropped to as much as Rs 5,508 apiece in morning deals, marking a decrease of 3.17 per cent. On the Bombay Stock Exchange (BSE), the Maruti Suzuki share price declined as much as 3.20 per cent to touch the Rs 5,510 mark at the day's lowest point. 

At 9:50 am, Maruti Suzuki shares traded 2.89 per cent lower at Rs 5,528 apiece on the BSE. On the NSE, the shares of the carmaker traded 3.03 per cent lower at Rs 5,517 apiece.

Meanwhile, the S&P BSE Sensex and NSE Nifty 50 Indexes nosedived in Monday's session after Asian shares slid to 6-1/2-month lows.