Tata Motors stock is under pressure on reports of Jaguar-LandRover (JLR) cutting jobs at its UK plant.

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Ashwin Patil, Research Analyst at LKP Securities discussed the impact, said “There is a lot of slowdown, Brexit effect is there and also some regulatory impositions on diesel vehicles have been led, so these factors are already leading UK to put not so good kind of growth."

"In the first three months, JLR has reported a drop of about 26 percent. Also in Germany, Europe’s biggest car market, has slumped by about 32 percent in the same period. We are seeing that a negative impact is overall there in the European and the UK market,” he said.

“The company in order to save cost or cut cost will have to cut the employee cost of about 1,000 workers which were on contract basis. Going forward if things improve and as it is their investment plan is in place, they may recruit engineers at higher levels, they may get back things quite on track,” he added.

“In order to maintain their profitability, they have taken this step,” said Patil.