Tata Motors today announced new initiatives designed to enhance the company's competitiveness. The people initiatives will extend to all categories of employees, including workmen and the managerial cadres. Key focus areas will include productivity benchmarking, cost optimization and job enrichment, for a more effective and efficient organizational structure a ligned to market demand.

As a part of these initiatives, the Company has announced a Voluntary Retirement Scheme (VRS), presently intended for the workmen. In keeping with Tata Motors' practices, a generous benefits package will be offered to employees who opt for the scheme, including a monthly payout (Basic + DA) that begins at the date of separation till the employee turns 60 years of age, thus ensuring an assured monthly income as opposed to just a one-time payment of a single amount.

A unique feature of the offer is also the provision of a medical insurance cover for a period of 10 years post separation. These are in addition to normal retiral benefits such as PF, gratuity, superannuation (if applicable), encashment of unava iled leaves, LTA due but not claimed, etc.

The company's people initiatives will complement the strong product portfolio it has announced till 2020, including the launch every year of two new products for its passenger vehicle business, and several new products and variants for its commercial vehicles business. The company is determined to meet these plans by creating a strong, robust, global and customer-centric organization that is able to compete effectively while ensuring a strong future for its people.

Shares of the company gained Rs 15.3, or 2.73%, to settle at Rs 575.50. The total volume of shares traded was 222,785 at the BSE (Friday).