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Maruti's second plant advanced to rescue Swift production

autos Updated: Sep 01, 2011 21:57 IST
HT Correspondent
HT Correspondent
Hindustan Times
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Even as the standoff between the management and workers at Maruti's Manesar factory intensified on its fourth day, the company on Thursday announced that it would advance the start of production at its second plant in the region by almost a month.

"Production at the second plant, which will have a peak capacity of 250,000 units per annum, would start in a day or two," said the company spokesperson. "Our engineers are working round the clock to bring the second plant, which was expected to be commissioned by the end of this month, onstream ahead of schedule."

With the start of the second plant, the overall capacity at Manesar would go up to 6 lakh units per annum. The investment at the second plant is to the tune of Rs 1,700 crore.

The company, however, is working on a makeshift basis at the factory and attaining peak capacity would take a much longer time. After making 60 cars on Wednesday, around a 100 cars were made at the factory on Thursday.

"Today, we further strengthened the production activities at the Manesar plant," said the spokesperson. "A fresh batch of 180 experienced and ITI trained workers joined the production activities this morning."

With this, the current strength of fresh recruits at the factory has gone up to 300.

Another 50 engineers from its Gurgaon factory have been deployed with 290 supervisors to strengthen production at the plant. In total, there are around 680 trained people involved with the production.

Production at the Manesar plant stopped on Monday after the company decided to force workers to sign a "good conduct bond" before entering the factory premises, following alleged "sabotage".

With vehicle production being affected, c has suffered an estimated production loss of about 2,400 units, valued at around Rs 120 crore till Tuesday. Though low production levels are affecting the company's sales while increasing the backlog for its hatchback Swift, the company has ruled out negotiations with workers.

"We are very clear that there will be no negotiation unless the workers agree to sign a bond of good conduct," said a senior company official. "We have received support on our stand from the Haryana government as well."