Date:16/04/2006 URL: http://www.thehindubusinessline.com/2006/04/16/stories/2006041602990100.htm

Back Strike at Hero Honda plant ends

Our Bureau

New Delhi , April 15

Hero Honda today said it had resumed production at its Gurgaon plant after striking peace with agitating contract workers who, called off their five-day stir ``peacefully and unilaterally.''

"Normalcy has been restored at the company's Gurgaon plant with the commencement of production this morning. The Gurgaon plant will be operating at its full capacity,'' the company said.

In order to complement the loss of production, output at its Dharuhera plant had been stepped up, Hero Honda said. According to Mr Vikram Kasbekar, Vice-President and plant head, Hero Honda, production at the company's Dharuhera was increased from 4,500 bikes per day to 5,000 bikes per day after the strike broke out at the Gurgaon plant. Further, production at the Gurgaon plant, which was earlier running at 5,800 units per day, will also be stepped up.

Hero Honda, on late Friday night, reached peace with the 2,000-odd agitating contract workers who had struck work since April 10 demanding regularisation of jobs, higher wages along with medical and other benefits, which are extended to permanent staff.

``The contractors have agreed to address some of the genuine grievances of the contract workers,'' Hero Honda said. However, the company statement did not mention whether Hero Honda would directly extend some benefits to contract workers.

Stating that the ``long-standing goodwill of the management and company HR practices prevailed upon the contract workers,'' Hero Honda said it had extended full co-operation in the reconciliation talks, which also involved the local administration and contractors.