Toyota India has announced lockout at its Bidadi unit located in suburbs of Bangalore. The announcement regarding the lockout was madeon Sunday. Reports of unrest and purposeful ceasing of production line at the Bidadi plant since last 25 days led to Toyota Kirloskar Motor taking this step.
Toyota India’s Bidadi plant has a yearly production capacity of 3,10,000 vehicles, the facility is scattered in an area of 432 acres in the suburbs of Bangalore. Before declaring lock-out, the company tried to negotiate with the workers union, however nothing worked out despite intervention from labour department of Karnataka government. Speculations suggest that the spat between workers and management is over demands for the 2013-14 year, talk about which were going on for the last 10 months.
Workers went on strike on February 10th and February 28th demanding for a settlement, with no action been taken, the situation got worse. Prior to this, company witnessed a 15 day lock-out at the Bidadi plant in 2006 over wages issue. Toyota India as of yet has not commented as to how the lock-out will affect their sales, if the issues is not resolved in coming days, it might affect company's forthcoming launches which are slated to take place soon. However, things will be more clear in few days, as of now the company has not commented on that.
