Jawa staff to agitate for their dues

The workers of Ideal Jawa Factory, the two-wheelers of which were one of the most sought-after in the '60s and '70s in the country, have now decided to agitate to get their dues.

Started in 1964 in collaboration with a Czechoslovakian firm on a 28-acre land said to have been gifted by Maharaja Jayachamaraja Wodeyar, the two-wheeler unit employed over 2,000 workers. Its motorcycles were sold under the brands of 'Yezdi', 'Roadking' and 'Classic'. It also produced two-wheeler spares.

At the peak of its popularity, Ideal Jawa produced 128 vehicles a day, one two-wheeler in 10 minutes. Ideally suited for Indian roads, the sturdy vehicles enjoyed a wide market with a waiting period of six months.

In fact, the setting up of the Jawa factory set in the industrial development of Mysore, which was till then known as a 'pensioners' paradise'. The SSIs came up, to supply accessories to the factory.

Apart from pioneering the Ideal Jawa, its Managing Director F K Irani became a popular and leading personality in the social circles as well, as he was instrumental in reviving a number of other businesses and social activities.

But the demise of Irani led to a series of problems. Hero Honda, a new entrant, became a strong rival of Yezdi vehicles in the market. A lack of managerial skills of Irani's successors dealt another blow.

As a result, the company turned sick with a heavy loan burden. A lockout lead to a stoppage of production in 1981.

The company was wound up and the state government appointed a liquidator. The factory was auctioned lock, stock and barrel in 2001. The workers, who had approached the court, were promised payment in four installments.

"The workers have received only one installment so far. Of the Rs 4.5 crore due, 1,700 workers have been paid only Rs 1 crore on an average of Rs 1 lakh. The arrears comprise insurance, PF and gratuity too," complains Ideal Jawa labour leader and former Mayor Narayan.

"The factory, including its land, was sold in an open auction for a meagre Rs 26.96 crore. A Rs 100 crore worth property, its machinery alone was worth over Rs 42 crore. The land was valued at Rs 3 crore, but it is worth Rs 28 crore," he says, alleging collusion and a benami deal between the government, the liquidator and the buyers.

The Sankalp group is building a 1,000-apartment complex in this factory land in Yadavagiri industrial area, despite objection for conversion of the land from industrial to residential purpose by the workers, another labour leader and former Mayor Ananth said.

The non-settlement of the dues violates the court direction and the promise to the workers, who lost their jobs, Narayan told Business Standard.

The workers decided at a meeting on Sunday to resort to a phase-wise agitation from May 2. Apart from a protest before the deputy commissioner's office, they also planned to block construction on the 78,208 sq m land.