Sparkle on four wheels

Barely weeks before the Diwali festivities, the diamond market in Surat was abuzz with speculations about what was likely to emerge from Kaka’s kitty this year as bonus for his “loyal” employees. Fondly referred to as Kaka in the diamond trade circles in Surat, Savjibhai Dholakia (56) has attracted global attention for his extravagant Diwali “gifts” in the form of cars, jewellery, flats and even fixed deposits or insurance policies to employees of Hari Krishna Exports, a company he founded over two decades ago.

Dholakia doesn’t like corporate terms such as ‘bonus’ or ‘incentive’ for these “gifts”; he would rather call them a “reward”. In an earlier chat with BusinessLine , the diamond worker-turned-baron had called his Diwali gifts a “loyalty programme” that recognises the work his employees put in. The diamond polishing industry being highly labour-dependent, retention of employees assumes utmost significance. Such programmes seem to be helping Dholakia in keeping his workforce — about 6,000-strong — happy and involved in the growth of the organisation. Hari Krishna Exports, a DTC sightholder (an international list of authorised bulk purchasers of rough diamonds) company, has a turnover of ₹6,000 crore.

Savji Dholakia

Dholakia’s beginnings, in Dudhala village of Amreli district, were humble. He migrated to Surat in 1977 for work. Apart from putting in hours of back-breaking labour, the man learned the importance of building relationships early in life. He worked equally hard in keeping good relations with employers, clients and employees. Some say that this quality helped him bring Prime Minister Narendra Modi to the inauguration of a new unit in Surat in August 2017. “Those thinking that a Prime Minister is visiting Savjibhai, please don’t be under a false impression. It is our years of friendship and a personal promise to Savjibhai that I am visiting this place,” Modi had said to the employees gathered at the premises.

Nearly two weeks ago, Dholakia’s company rewarded around 1,700 diamond artists and engineers with 600 Maruti Suzuki cars, fixed deposits and insurance policies. Modi conducted a video conference to mark the celebrations and addressed the employees. The Prime Minister even handed over car keys to some of those who were flown to New Delhi. In September, three workers who have completed 25 years at the company, drove home in Mercedes-Benz GLS SUVs worth ₹3 crore each.

Dholakia first gifted cars in 2012, to three polishing workers. The number rose to 72 the next year. It was in 2014, however, that he first hogged the headlines for the Diwali bonanza. The programme had expanded to include flats as well gold and diamond jewellery worth ₹50 crore, for more than a thousand employees. It was only last year that the gifting and the bonuses were postponed, due to a cyclical trough in business.

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A first-generation entrepreneur, Dholakia founded Hari Krishna Exports in 1992. Today, he dons many hats with ease and confidence — diamond manufacturer and exporter, jewellery manufacturer, exporter and retailer , under the brand Kisna. Dholakia has also founded an in-house institute for one- and two-year courses in diamond polishing.

He won more praises for sending his 21-year-old son to Kerala for a month-long training in the trade. It is said that Dravya was allowed to carry only three sets of clothes and given a small pocket allowance. He was also made to pay for his food and boarding.

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Just as Dholakia’s teaching methods are said to be different, some recent media reports suggested that his “large-heartedness” in matters of gifting comes with a catch.

Some reports point out that as per the cost-to-company salary structure, a specific amount was deducted every month from the salaries of the employees under the head of ‘bonus’. This cumulative amount for each employee goes as down payment to the car retailer or the builders of the residential schemes. Some people view this as the employees’ dues being returned to them in the form of gifts. There are also rumours that those selected for the gifts under Dholakia’s “loyalty programme” were asked to sign a five-year bond with the assurance that they will pay half the instalments for the car or the flat.

Despite repeated attempts, Dholakia remained unavailable for comment on these reports.

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