Tamil Nadu serves show-cause notice to Tata Electronics after Hosur fire

The notice was addressed to the 'occupier' and the factory manager and the company is expected to respond within a week unless they request an extension

The Tamil Nadu government has issued a show-cause notice to Tata Electronics following a major fire incident at one of its manufacturing units last month. The notice was sent by the Directorate of Industrial Health and Safety, seeking an explanation regarding the incident, according to a report by The Economic Times.

The notice was addressed to the ‘occupier’ and the factory manager, a standard practice in such situations and the company is expected to respond within a week unless they request an extension, the report quoted an official as saying.

As per the Factories Act, the ‘occupier’ holds ultimate authority over a factory’s operations and is accountable for maintaining the health, safety, and welfare of the workers. For companies, one of the directors is typically designated as the occupier.

The show-cause notice cited the failure of the thermostat control at the anodising plant as the probable cause of the fire and requested Tata Electronics to provide its findings, the report added. In some cases, companies accept the government’s reasoning, while in others, they may offer alternative explanations based on independent investigations.

Fire incident at Tata Electronics’ Hosur plant

Earlier, state Directorate of Industrial Health and Safety had identified the ‘most probable cause’ of the fire that broke out at Tata Electronics’ facility in Hosur. The incident occurred in late September and involved a fire at one of the company’s manufacturing plants, which supplies components to Apple.

At the time of the fire, over 1,500 workers were reportedly inside the plant. In a statement, the company had acknowledged the fire incident and assured that emergency protocols were followed, ensuring the safety of all employees. Tata Electronics stated that the cause of the fire was under investigation and that they would take appropriate actions to safeguard their employees and stakeholders.

According to media reports, the fire started in the mobile accessories painting unit located in Uddanapalli. Three employees experienced respiratory issues, but after being taken to a private hospital, they were reported to be in stable condition.

iPhone assembly operations affected

The incident coincided with Tata Electronics’ plans to commence production at its iPhone assembly facility in Hosur’s Koothanapalli area. This will be the company’s second iPhone assembly plant, following the acquisition of Taiwanese electronics manufacturer Wistron’s unit, a deal in progress for the last two years.

Tata Electronics is expected to invest approximately Rs 6,000 crore in the iPhone assembly plant, a similar figure to its investment in the component factory that supplies Apple. The combined facilities are projected to create over 50,000 jobs, predominantly for women. The iPhone assembly unit alone is anticipated to employ between 35,000 and 40,000 workers, making it one of Apple’s largest manufacturing bases in India, second only to Foxconn’s facility in Tamil Nadu.