Following the strike by the MICO Employees’ Association (MEA)’s ‘Tool Down’ strike at the Bosch facility yesterday against the company’s decision to outsource certain jobs, Bosch Ltd has decided to shut down plant operations with effect from September 29.
"Efforts are in hand to resolve the matter and restore normalcy at the earliest possible date," the company said in a listing on the Bombay Stock Exchange.
At the site, however, employees are continuing the agitation as they await an official verdict on the employee-management stand-off.
The workers at Bosch are protesting the company’s move to outsource several non-core manufacturing and support processes despite the employee union’s request not to do so. Employees fear that if certain functions are outsourced and they be shifted to other departments, it would mean lower incentives and wages.
“We had a meeting last week and told the management not to go ahead with ancillarisation and we even have a written settlement signed before the Labour Commissioner on this; but they did it anyway,” Mr Raghavendra, Executive Committee Member of the MEA, told Business Line .
However, in a press statement issued yesterday, Bosch had said that the decision to outsource was taken after monthly meetings with its labour union.
The MEA and the Bosch Management had signed an agreement before the Labour Commissioner of Karnataka agreeing on the issue of not sub-contracting functions, according to Mr Raghavendra. The settlement was to be in effect till December 31, 2012, he said.
Employees say that without their knowledge, seven machines from the pump housing department were taken away from the Bosch facility on Sunday, and given away to sub-contractors. “We discovered this on Monday, called for a union meeting, and started the tool down strike on Wednesday,” Mr C. Hanumantha, Vice-President of the MEA, said.
Employees also claim that after the official shutdown, several women from the administrative departments and several trainees were put on jobs at the shop-floor, which is also against the agreement signed between the management and the MEA.
“Several issues were discussed and several plans dropped as part of this settlement, and outsourcing was one of the issues dropped during the discussions,” Mr Raghavendra said. If they bring up issues that were dropped, we will too, and we will protest on several issues, he said.
“What we’re protesting is not merely against the change of jobs and the possible loss of wages, but against the disrespect shown to the official document,” an employee said.
According to Mr Raghavendra, the Labour Commissioner had called for a meeting with the company management and the MEA this morning to discuss the issue, but the Bosch management hadn’t attended the meeting.