Jamshedpur, Aug 14: The Jamshedpur plant of Tata Motors has announced shut down operations on Saturday as a part of block closure. The automobile major will also observe a block closure on Monday, August 16. Tomorrow being Sunday it’s a weekly holiday. This Sunday also coincides with Independence Day. The Jamshedpur plant of the auto major produces heavy commercial vehicles – trucks, trailers, tippers, buses and other multi-axle vehicles. The company will remain shut from Saturday and Monday, as per an internal communication sent to its employees. The employees have been asked to report for duty on August 17, Tuesday.
A Tata Motors spokesperson confirmed the block closure saying that it is a routine closure undertaken for necessary maintenance activities. The workmen affected by block closure shall avail their privilege or casual leave for 50 per cent of the day and for the remaining half of the period they shall be paid their normal wages/salary by the company.
Vendors are facing perhaps their toughest challenge yet, with orders coming down to a mere trickle, even as principals such as Tata Motors have drastically cut production to tide over tough times.
According to information, these industrial units are also taking elaborate measures to control costs. Many have reduced the use of commercial generators at their premises. Other facilities like use of company vehicles are also being restricted. Plans are also being made to introduce no work half payment policy for the workers whose job is permanent in nature and also reduce the fringe benefits given to the officials.
The slowdown has affected scores of industrial workers employed in the country’s densely populated ancillary hub at Adityapur in the neighbouring Seraikela-Kharswan district.
In the past three weeks, several workers have been retrenched from jobs owing to abnormal cut in the work order from the global automobile companies. In the past one month, the ancillaries have suffered loss of about Rs 400 crore by conservative estimate, said industry insiders.