With production at Tata Motors declining to about a third of its capacity during January, the company has disengaged about 75 per cent of its total 5,000 temporary workers at its Jamshedpur plant.
This is one of the biggest layoffs for the carmaker, which saw its net profit for the October-December 2012 quarter decline 52 per cent year-on-year.
Debasis Ray, corporate communication chief at Tata Motors said, in Mumbai the company “engages workers as per demand and disengages them when the work is completed. There is nothing unusual in this”.
General secretary of the Telco Workers Union, Chandrabhan Singh said that around 75 per cent of temporary workers have been issued notices. He said their services were terminated only from those department which have achieved the production target. He added the temporary workers would be called back as per the company’s requirement when the market situation improves.