EMPLOYEE RELATIONS ISSUES of BATA

OVERVIEW
On July 21, 1998, four laborers at the organization’s plant at Batanagar seriously ambushed Weston,
while he was going to a business meeting. The episode happened after an individual from BMU, Arup
Dutta, met Weston to examine the issue of the suspended representatives. Dutta apparently got into a
verbal duel with Weston, whereupon different laborers started to yell mottos. At the point when
Weston attempted to leave the room the laborers turned vicious and attacked him. This was the second
assault on an official after Weston assumed responsibility for the organization, the first being the strike
on the central welfare official in 1996.
In February 1999, a lockout was pronounced in Bata's Faridabad Unit. Middleton remarked that the
conclusion of the unit would not have much sway on the organization's incomes, as it was taking into
account lower-finished results, for example, canvas and Hawaii chappals. The lockout went on for eight
months. In October 1999, the unit continued generation when Bata marked a three-year wage
understanding.
On March 8, 2000, a lockout was announced at Bata's Peenya industrial facility in Bangalore, following a
strike by its worker association. The new authority of the association had wouldn't maintain the
compensation understanding, which was to lapse in August 2001. Following the disappointment of its
exchanges with the association, the administration chose to go for a lockout. Bata the board was of the
view that however it would need to shoulder the expense of keeping up an inert plant (Rs. 3 million), the
impact of the terminations on deals and generation would be insignificant as the footwear fabricated in
the processing plant could be moved to the organization's different product lines and partner makers.
The industrial facility had 300 laborers on its rolls and fabricated canvas and PVC footwear.
In July 2000, Bata lifted the lockout at the Peenya manufacturing plant. Nonetheless, a portion of the
laborers contradicted the organization's transition to get an endeavor from the production line
representatives to resume work. The representatives requested denial of suspension against 20 of their
kindred workers. They additionally requested that conditions, for example, keeping up an ordinary
creation plan, complying with standing requests and the settlement in power ought not to be
demanded.
In September 2000, Bata was again set out toward a work question when the BMU asked the West
Bengal government to mediate in what it saw to be a scaling back exercise being embraced by the
administration. BMU advocated this move by charging that the administration has expanded re-
appropriating of items and furthermore because of saw the declining significance of the Batanagar unit.
The association said that Bata has begun re-appropriating the Power scope of completely made shoes
from China, contrasted with the prior re-appropriating of just get together and sewing line work. The
organization's creation of Hawaichappals at the Batanagar unit also had descended by 58% from the
week by week limit of 0.144 million sets. These means had brought about lower pay for the laborers
driving them to approach the administration for sparing their interests.
EMPLOYEE RELATIONS ISSUES:

 Labor strikes faced by Bata in the Batanagar factory
 On February 1999, a lockout(8 months) was declared in Bata’s Faridabad unit
 On March 2000, a lockout was declared at Bata’s Peenya factory in Bangalore,following a strike by
its employee union
 Workers opposed the company’s move to get an undertaking from the factory’s employees to
resume work
 Employees demanded revocation of suspension against 20 of their employees
 Demanded that conditions such as maintaining normal production schedule, conforming to
standing orders and the settlement in force should not be insisted upon
REASONS FOR STRIKE:

 Downsizing
 Change in management
 Increase in working hours
 Change in employment policy
 Demand for union in workers participation in management
 Wage hike
OUTCOMES
 Bata was facing labor disputes in September 2000. This time BMU was seeking help from the
government of west Bengal and make them aware that Bata is reducing numbers of employees,
who were on the operating pay roll .
 BMU justified their allegation, they told that outsourcing of products has been started in
Batanagar factory. Bata was outsourcing shoes from China which was more than as compared
to the earlier outsourcing.
 Hawai chappals production was also degraded by 58%.
 The above steps taken by Bata lead to deacrease in income of workers.
 The outsourcing, decrease in production and income of workers and the above steps taken by
Bata under the charge of Weston.
 On January 30, 2001 Weston resigned from Bata which was very shocking for Bata management.

EMPLOYEE RELATIONS ISSUES of BATA

Uploaded by

Copyright:

Available Formats

EMPLOYEE RELATIONS ISSUES of BATA

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

EMPLOYEE RELATIONS ISSUES of BATA

Uploaded by

Copyright:

Available Formats

OVERVIEW

EMPLOYEE RELATIONS ISSUES:

REASONS FOR STRIKE:

You might also like