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Lockout at Apollo Tyres unit withdrawn
BS Reporter / Chennai/ Kochi Aug 25, 2010, 00:17 IST

The 70-day long lock out at the Perambra unit of Apollo Tyres, near Thrissur, has finally been withdrawn with effect from August 21.

Two of the three unions of the unit have agreed to conclude the long-term settlement negotiations and operationalise the plant. This brings to an end the lockout, which was imposed on June 11 following a long period of ‘go slows’.

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The negotiations between the trade unions and the Apollo management have resulted in a number of positive steps. Some of the highlights include increasing plant capacity from 308 to 340 tonnes per day in accordance with agreed upon productivity measures, employing an additional 200 people to enable capacity expansion, use of secondary manpower during night shifts, weekends, holidays and periods of high absenteeism. This was essential since the Perambra plant witnesses one of the highest absentee rates in the country.

Satish Sharma, chief - India operations, Apollo Tyres Ltd, said the increase in capacity, manpower and the use of secondary labour were all progressive steps taken by the unions. These will have multiple benefits; beginning from securing the future of the plant to providing employment to a larger number of people and allowing workers to earn greater incentives.

The Perambra plant produces cross ply truck, bus, light truck and farm tyres. The lockout has affected Apollo’s volumes in the past quarter and efforts are on to enable a quick turnaround. The successful negotiations were aided in a large measure by the State Labour Minister and the Labour Commissioner. The Plant in Perambra is Apollo’s first greenfield unit and often referred to as the mother plant. The company is among the largest private sector employers in the state of Kerala.

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