Maruti Suzuki exports Baleno to New Zealand, Australia, USA    Royal Enfield opens its first dealership in Ireland    BMW developing 6-cylinder 160 PS motorcycle    Vehicle scrapping policy to be announced soon    Mercedes recalls 2008/9 C-Class in India for airbag issue

Workers At Bajaj Auto Want Rs. 9 Lakh Worth Of Shares

Total Shares 0

Bajaj Pulsar 220 Wallpaper

Workmen unions are not a good thing, at least that is what recent times have told us. In a shocking demand, workers at Bajaj Auto’s Chakan plant have gone on an indefinite strike, asking for 500 equity shares of the company at a highly discounted value of Rs. 1 per share. The current market price of Bajaj Auto in the Bombay Stock Exchange (BSE) is Rs. 1779.30/- which puts the value of 500 shares to be Rs. 8.90 lakhs. Production at the plant has been affected, which has an annual capacity to churn our 12 lakh units.

So is this demand sensible? Certainly not. How can a company allot shares at such a massive discount, even top management who have played instrumental role in the success of the company don’t get such a huge discount in employee stock option schemes. Bajaj Auto has 925 permanent workers along with 1000 temporary/contractual workers at their Chakan plant. These 925 workers are demanding shares through the union Vishwa Kalyan Kamgar Sanghatana. This puts the overall cost to fullfil the demand of the workers at Rs. 83.25 crores, a significant amount for any company. The workers are also demanding a 25% wage hike along with making contractual workers permanent employees and bringing back suspended workers.

Bajaj Auto manufactures its own motorcycles at Chakan along with producing KTM motorcycles (Duke 125, 200 and 390). It also assembles Kawasaki’s Ninja 300 and Ninja 650 at the same plant. The stoppage in production can lead to huge losses as KTM motorcycles are exported globally. Just yesterday Bajaj Auto launched the Duke 390 and this stoppage in production can lead to a huge waiting period in India as well as other countries. Hopefully the company resolves the issue quickly and commences production.

KTM Duke 200 Service

Comments on this entry are closed.

  • Shib

    This seems an unjust demand… but there must be something else too.. one has to talk to the employees to find out if they have other genuine issues and resolve them through dialogue. Maharashtra govt is not facilitating smooth running of industries or even attracting new ones… no political will on that front. Mr Bajaj, start planning another plant in Gujarat (go the Nano way) !

    • Shib, agree completely. If this is how MH gov works, they will be losing lot of factories.

  • Ben

    @shib. then pulsar will catch fire like the nano.

2016 Hero Maestro Edge Test Ride Review

2016 Hero Maestro Edge Test Ride Review


May 4, 2016    Adwait

Hero Maestro Edge Review Bike Tested: 2016 Hero Maestro Edge; Road Test No. 693 Price OTR Mumbai Rs. 64,544/- The Hero Maestro Edge is such a good scooter that it will never fail to impress in first sight It all started when Hero and Honda split their ways for good. Hero was renamed to Hero […]

Honda BR-V Video Review

Honda BR-V Video Review


May 2, 2016    Javeid Khan

Honda BR-V Video Review Catch All The Latest Videos, Subscribe To  

Honda CB Hornet 160R Long Term Review – Initial Report

Honda CB Hornet 160R Long Term Review – Initial Report


May 1, 2016    Aman Sancheti

Honda CB Hornet 160R Long Term Review – Initial Report The Honda CB Hornet 160R is a good attempt by Honda to crack the premium commuter space As soon as you talk about the Hornet in front of anyone, they curiously ask that which segment is the bike in. When they hear the reply, the […]

2016 Toyota Innova Crysta Test Drive Review

2016 Toyota Innova Crysta Test Drive Review


April 30, 2016    Faisal Khan

2016 Toyota Innova Crysta Review Car Tested: 2016 Toyota Innova Crysta; Road Test No. 691 Price OTR Mumbai: Rs. 17.13 – 24.41 lakhs The Toyota Innova Crysta has taken a full generation leap ahead and it is very evident Toyota can be credited for kick starting the MPV revolution in India as the Qualis, which […]