Ingersoll-Rand (India) has entered into a termination agreement with Ingersoll Rand Climate Solutions (IRCSPL) and has decided to discontinue the operations at the company’s plant at Chennai manufacturing environment solutions products on account of lack of future orders from IRCSPL.
The company will offer Voluntary Separation Scheme or negotiate with the workers on termination of their services. The company will also pursue the disposal of the Chennai plant and related assets.
In terms of the termination agreement, IRCSPL will reimburse the loss, expenses and taxes that may be suffered by the company up to the time all assets of the Chennai Plant are sold and proceeds received by the company.
Ingersoll-Rand (India) manufactures air compressors of various capacities for the domestic and export markets. The company derives revenue from sale of reciprocating, rotary, and centrifugal compressors and spares in the domestic market, and from exports to parent and group companies.