Kolkata, May 24 UNI | 2 months ago

West Bengal labour minister Purnendu Bose today said he would initiate for a tri-partite meeting with an effort to re-open the Hindustan Motors, Uttarpara plant, which the management declared suspension of work from this morning.


As the workers began arriving for the day's work, they found the suspension of work notice of the company pasted on the main-gate, rendering nearly 2,500 workers jobless for indefinite period.

Hindustan Motors Ltd has informed BSE that it has declared suspension of work at its Uttarpara plant with effect from 0600 hrs of May 24, 2014.

A report said the company was transparent in sharing updates about the worsening conditions at its Uttarpara Plant which include very low productivity, growing indiscipline, critical shortage of funds, lack of demand for its core product the Ambassador and large accumulation of liabilities.

'Given the present circumstances it has no alternative but to declare a suspension of work at its Uttarpara Plant till further notice. The suspension of work will enable the company in restricting mounting liabilities and restructure its organisation and finances and bring in a situation conducive to reopening of the plant,' the report added.

State labour minister Mr Bose said the Hind Motors was needed up-gradation of its infrastructure, pumping of fund and catering the needs of the market demands, which were not been done for years.

He said the company was also in talks with a Chinese company for rejuvenation, that might have failed resulting the suspension of work.

He said after Monday he will take an initiative for calling a tri-partite meeting to iron out the trouble for reopenign the factory at Uttarpara in Hoogly district.

Hindustan Motors is part of the Birla group of industries, where car first produced In India in 1942.

Hindustan Motors, part of the Birla Technical Services industrial group, was the largest car maker in India before the rise of Maruti Udyog Ltd.

(Posted on 24-05-2014)