Tata Motors mulls options as strike threat looms at JLR

Cyrus Mistry says matter between union and DHL, JLR in discussion with DHL

Tata Motors Chairman Cyrus Mistry’s inaugural address to the shareholders of Tata Motors at the 68th annual general meeting on Wednesday highlighted government-dependent opportunities in sectors such as infrastructure and the robust performance by subsidiary Jaguar Land Rover (JLR) but did not speak about the troubled car business.

Mumbai-based Tata Motors, which depends almost entirely on profit-making Jaguar Land Rover (JLR), reported an operating loss of nearly Rs 400 crore in the first quarter of this year at the stand-alone level.

JLR, the UK-based luxury car manufacturing arm of Tata Motors Ltd, is staring at a potential production loss, with workers supplying auto parts to its plants in the UK set to strike work next week.

The workers of logistics firm DHL serving JLR’s production lines in West Midlands and at Halewood, as well as a parts distribution factory in Ellesmere Port, have decided to stop work on August 28 over a pay dispute.  

Mistry said alternative arrangements were being made to avoid any production loss at JLR. “The matter is between the union and DHL. JLR is in discussion with DHL but at this point in time, we are looking at making alternative arrangements.”