Ford India, Unions reach final severance deal for Chennai unit employees

Company will revise final severance pay to 140 days of gross wages per completed year of service, compared with 130 days earlier. A one-time lump sum of Rs 1,50,000 will be paid as well

Putting an end to the uncertainties over employee settlement at the Ford India factory at Maraimalai Nagar near Chennai, after more than a year and over 68 meetings, the company has arrived at a final severance deal with the union.

Under the agreed settlement, the company will revise the final severance pay to an equivalent of 140 days of gross wages per completed year of service, higher than the previous offer of 130 days. An additional one-time lump sum of Rs 1,50,000 will be included in the final settlement. The cumulative severance for each employee will range from a minimum