Tata Motors solves dispute with workers union at Sanand

The company signed an agreement with Gujarat government for setting up of a manufacturing plant in Sanand in 2008 and started production in 2010, with a total capacity of producing 200,000 units. 

In December 2015, the company had suspended few workers on charges of ‘misconduct’. Last year 300 workers went on a flash strike demanding their reinstatement. 

The strike was called off on 23 March, 2016 as per a notification by the company to the Bombay Stock Exchange (BSE), with normalcy returning to the Sanand plant. 

In a press release the company said it has reached settlement with the union. The company has allotted a total wage package amounting to Rs. 16,000  and will be spread across the LTS term uniformly. In addition to the amount, the company has introduced a performance linked payment, which is accounted as 10% of total salary and will be linked to productivity, quality & safety. The Annual Bonus linked to performance covering all permanent workers was also agreed upon. 

Additionally, other benefits like Transport and Canteen facilities and various other facilities, like rationalisation of leave rules and block closure days up to 24 days per year were mutually agreed. 

Commenting on the development Gajendra Chandel, chief Human Resource Officer said, “We have strived to resolve the LTS issue and today are delighted to have resolved the matter for a long term, ensuring our business operations’ competitiveness on one hand and taking care of the well-being of our shop-floor colleagues on the other.”