Auto component major Bosch declares lockout at Jaipur plant
NEW DELHI: Auto parts giant Bosch has announced the closure of its Jaipur plant as worker unrest continues at the plant.
The plant, which has a history of labor disputes, was closed for a day last month because of a one-day union strike.
In a filing, Bosch Ltd said, “The company management has taken a prudent decision to shut down the unions and workers at the company’s Jaipur plant from four documents that say that the month 5 from day to day until the outbreak of Mad Cow Disease.”
It is reported that the union continued its “illegal expansion” since March 19, 2015, reducing production by as much as 70% before announcing the shutdown.
The company later added that since April 2, 2015, the union has been on an illegal hunger strike.
The company’s management said the decision was taken after careful consideration, taking into account the safety of employees, the interests of customers and the overall impact of the severe slowdown on the Indian automotive industry. Bosch also said that no immediate impact on customer deliveries is expected due to existing inventory and production by trained personnel.
Wage settlement negotiations, including intensive mediation sessions, lasted more than 20 months from June 2013 to May 2017, with the support of the Labor Department and mediators, the company said. Jaipur region.
The Rajasthan government has referred the matter to the Jaipur Industrial Court for adjudication.
Bosch Ltd. manufactures various automotive components including fuel injection and distribution pumps (VE pumps) at its Jaipur plant.
The two plants in Jaipur and Bengaluru are facing labor issues.
Last year, workers at the Bengaluru plant went on strike for more than three months over a wage agreement.
Volker Maldena, chairman of the Bosch Group’s management board, later said that repeated labor unrest could hurt investments in India.
Bosch shares fell 1.02% to Rs 25,300 per share in pre-market trading on the BSE.
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