Labour unrest-at-toyota - hr perspective

1. Presented By:
Pallav Tyagi
Pavinder yadav
Ankur chaudhary
Prakhar tiwari
LABOUR UNREST AT TOYOTA:
THE DECISION DILEMMA

2. COMPANY BACKGROUND
 Japanese automobile manufacturer
 Joint Venture : TKM(Toyota Kirloskar Motor
Private Limited), 1997
 TKM established its manufacturing plant at Bidadi,
near Bangalore
 Started commercial production of cars in 2000

3. ABOUT THE CASE
 Place: Manufacturing plant at Bidadi near Bangalore
 Manufactured: Corolla, Camry, and Innova
 Work force: 2378 out of which around 1550
employees belonged to TKMEU, the only company
recognized trade union
 Union was affiliated to the Centre for Indian Trade
Unions(CITU)

4. CONFLICT
 Conflict: Between management and union began in
2004
 Suspension of 15 workers
 Reason for suspension: For misconduct, including
and assault on a supervisor and disruption of work
 An independent inquiry committee was formed to
inquiry into the misconduct by the suspended
workers

5. STRIKE
Strike: On January 6th , 2006
 Union did not give the mandatory 14 days notice
period before going on strike
During strike:
 Union blocked the road to the plant
 Stopped production
 Obstructed the movement of cars from the plant
 Man handled and forcibly prevented non-
unionized workers
 Threatened to blow up LPG gas storage tanks
inside the plant

9. LOCKOUT
Lockout: January 8th, 2006
 Decision was taken on the third day of the
strike
 The Karnataka government took steps to reach
amicable solution between management and
workers union
 Dispute regarding the dismissal of 3 employees
are referred to DLC
 On January 9th,2006, DLC convened a tripartite
meeting to resolve the dispute

10.  On January 12th ,2006 DLC failed to resolve the
dispute
 DLC suggested immediate withdrawal of strike by
the union and lifting up of the lockout by the
company

11. GOVERNMENT INTERVENTION
 Karnataka government was eager to settle the dispute at the
TKM plant to project the state as investor friendly
 Government was pressurized by the trade unions to
intervene into the matter and resolve the dispute in unions
favor
 January 20th, 2006- TKM’s management lifted the lockout
 Agreement: Workers has to sign good conduct declaration
which is stated that
- Maintain discipline in the plant
- Ensure full production
Also trained 700 people to work in shop floor to work during
emergency.

13. THANK YOU