IBBI analysis finds companies resolved under IBC retained about 85% of their workforce

Key facts

• An analysis by the Insolvency and Bankruptcy Board of India (IBBI) found that companies undergoing insolvency proceedings retained about 85% of their workforce, with combined workforce falling from around 96,200 employees and workmen at the start of proceedings to around 82,100 at their close across about 300 companies including MSMEs.
• 12-15% of the companies in the sample increased their workforce during the resolution process, with the pattern of steady or slightly reduced employee numbers common in manufacturing, textiles and infrastructure sectors.
• The National Company Law Tribunal (NCLT) approved a record 107 resolution plans in the September 2026 quarter, taking approvals in the first half of FY27 to 185, about 82% of the 225 plans approved in the whole of FY26.
• Since the IBC came into force, 9,166 corporate insolvency resolution processes (CIRPs) had been admitted as on June 2026, of which 1,484 resulted in approved resolution plans, 1,865 were ongoing and 3,074 were referred for liquidation.
• Creditors had recovered around Rs 4.35 lakh crore through approved resolution plans by June 2026, amounting to 30.52% of their admitted claims.