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Toyota employees refuse to return to work at India plants | Toyota employees refuse to return to work at India plants |
(about 4 hours later) | |
Workers at Toyota's two Indian plants have refused to return to work this week, after the Japanese car firm said it was ending a lockout that it had instituted on 16 March. | |
Toyota locked out the workers because the firm said they were disrupting production and threatening managers. | Toyota locked out the workers because the firm said they were disrupting production and threatening managers. |
The conflict stems from wage negotiations, which have been continuing for the past 10 months. | |
About 4,200 of the two plants' 6,400 employees are not working. | About 4,200 of the two plants' 6,400 employees are not working. |
The union representing the workers says that they are holding out for pay increases, and that they are also demanding Toyota reinstate 30 workers who were suspended last week. | |
The union is asking for a pay increase of at least 4,000 rupees ($65; £39) a month, while Toyota says it can only increase pay by 3,050 rupees ($50), because of weak car sales in India. | |
No deal | No deal |
Last week, Toyota announced it would resume production at the two facilities, which are located outside Bangalore and produce about 570 cars a week between them, including the Camry and Corolla models. | |
It said workers were welcome to return, as long as they signed a contract promising good conduct. | It said workers were welcome to return, as long as they signed a contract promising good conduct. |
However, most union workers at the Toyota Kirloskar units have not signed the document. Unionised workers represent about 65% of the total workforce of the plants. | |
Toyota said in a statement on Tuesday that it had resumed production "with the help of non-unionised team members, of whom majority are supervisors and engineers". | Toyota said in a statement on Tuesday that it had resumed production "with the help of non-unionised team members, of whom majority are supervisors and engineers". |
It denied reports that it was using apprentices to fill in gaps in the production line. | It denied reports that it was using apprentices to fill in gaps in the production line. |
India accounts for just 1.6% of Toyota's global car sales. Toyota is the world's largest car maker by sales volume. | India accounts for just 1.6% of Toyota's global car sales. Toyota is the world's largest car maker by sales volume. |
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