Bajaj Auto refuses to budge on Akurdi

Refusing to buckle under political pressure, Pune-based two-wheeler maker Bajaj Auto is steadfast in its decision to close down Akurdi plant.

At a meeting attended by Union Agriculture Minister Sharad Pawar, who represents the constituency that includes Akurdi, Bajaj Auto Managing Director Rajiv Bajaj only offered three things to the workers, which included rehabilitating them in other operations and absorbing their children, if qualified, in the company's plant in Chakan.

The third option is a voluntary retirement scheme for the 2,300-odd workers.

"Can't you see, I am smiling?" said Bajaj as he came out of the meeting called by the state's political leadership to discuss the issue.

State Labour Minister Ganesh Naik, representatives of the Bhartiya Kamgar Sena (BKS), the Shiv Sena's workers' wing, Vishwa Kalyan Kamgar Sanghatna and officials of the labour ministry too attended the meeting.

After Bajaj Auto announced its decision to close down Akurdi, Pawar stepped into the picture and said he would try to persuade the company to keep the plant running. The state Cabinet too expressed concern and Industry Minister Ashok Chavan said the state government "will not allow closure of the plant".

Speaking after today's two-hour meeting, Naik said, "The management has given some proposals and workers' unions have also given one. Both have said they needed some time to study and discuss each other's proposal. The next meeting will be called in a few days."

However, BKS Vice-President Suryakant Mahadik said, "We have given only one proposal to the management and that is you must start operations at the Akurdi plant and we will consider your proposals only after that."

In response to a question, Naik said, "Bajaj Auto will not be allowed to develop an IT park or undertake any other real estate development activity at the Akurdi plant site unless workers' issues are resolved first."

He also asserted "we wish that production should continue at the Akurdi plant".

The Bajaj Auto management also agreed to Pawar's request of giving six days' pay to workers instead five-and-a-half days' till negotiations on the issue were on, he added.

Even though the Bajaj Auto management managed to stick to their position on the plant closure issue, they had to change their stance on VRS, as while announcing closure of the Akurdi plant, Rajiv Bajaj had refuted any possibility of the company announcing VRS for workers, said sources from the labour ministry.