Lockout at Dunlop India Plant Declared

Dunlop India plans to suspend production at its Sahaganj facility and idle its workers on an Rs 2,000 (£30) a month retainer have run into complications, resulting in the company declaring a lockout at the plant on November 30. Workers have refused to sign an agreement accepting a suspension of production and the monthly payment, and on the morning of November 30 staged a demonstration against the company’s decision.

According to a statement released by the company, “Dunlop India management was left with no other option than declaring suspension of work at its Sahaganj plant. This understandably may delay the process of re-opening, which was planned earlier, had the unions signed the agreement. The management would like to reiterate that it remains committed to genuine production at the plant at the earliest once the unions and the management arrive at a consensus on the pending issues.”

The suspension of production at the factory followed a series of meetings between Dunlop chief managing director Pawan Ruia, West Bengal state Minister for Labour Mrinal Banerjee and the representatives of INTUC and CITU employees unions. According to Ruia, a suspension of production became necessary as the company could not arrange a loan from the state government. A meeting between union leaders and Dunlop management on November 28 failed to result in the signing of the said agreement.