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4,000 Bosch employees go on strike; looses Rs 1,000 cr of sales

12 Mar 2010 Evaluate

Bosch management yesterday threatened its striking employees that it may declare lockout at its main component factory in Bangalore also, if the workers don’t restore normalcy. The company has already declared lock out at its other plant in Naganathapura, on the outskirts of Bangalore with effect from March 9. Nearly 3,000 employees at the company's main plant in Bangalore are also on go-slow strike in addition to the 1,000 employees at another plant which has been locked out during the past two days. As a result of the strike at both the units, the company witnessed a 40 per cent drop in production and the losses have crossed the Rs 120 crore-mark so far.

 

The workers at both Naganathapura and Bangalore plants of Bosch had launched a go-slow strike from February 12, 2010, demanding a Rs 15,000 hike in their salaries per month and medical facilities among others. Bosch has been losing a turnover of Rs 1 crore at Naganathapura and Rs 3 crore at Bangalore plant per day. The company has employed 715 permanent employees in Naganathapura and 2,400 in Bangalore plants and 700 temporary staff in Bangalore and 70 in Naganathapura.

 

OEM (original equipment manufacturer) customers include Maruti Suzuki, Mahindra and Mahindra, Tata Motors, Ford, Force Motors, Ashok Leyland, Kirloskar, Hyundai, TVS among others that are dependent on supply from Bosch. The company’s after market in India and abroad and exports are also affected due to the strike at Naganathapura and Bangalore plants. The company currently exports about 15 per cent of its total turnover. The company’s both the plants at Bangalore contribute around 55 per cent of the company’s total turnover.

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