Bajaj Auto Workers Agree to 10% Salary Cut: Amid coronavirus pandemic, Bajaj Auto had proposed a 10% cut in salary for its workers to reduce the operating costs of the company. The brand stopped its manufacturing on March 24, 2020. The managing director of the company, Mr Rajiv Bajaj will not draw his complete salary during phase 2 of the lockdown. Bajaj Auto will pay full salaries and wages for the time period of March 24 to April 14, 2020. The company’s HR department had circulated an email to all of its employees citing the need of bringing down the operational costs.
According to the Press Trust of India (PTI), the letter said – “Due to unprecedented conditions, business and incomes have stalled in many areas and many companies have either announced or considering several cost-control measures, including some tough ones. We will review it periodically as the uncertainties in the present scenario will be even greater. We are extremely sensitive to the welfare of our workers and employees. If these deductions were to be made they would be fixed, balanced and measured and graded. The managing director has decided to take the initiative if such a decision is implemented, he will not receive any salary during this period.”
The 10% salary cut applies to all Bajaj employees across all locations, including workers at the Chakan plant, Aurangabad plant, and the Pantnagar plant. Some reports on the web suggest that the Bajaj Auto Workers Union has agreed to the temporary 10% cut for the second phase of the lockdown. The steps of the pay cut would be implemented if Bajaj Autos does not resume manufacturing operations from April 21, 2020, onwards. Currently, there are around 5,000 permanent employees at the company’s three plants located in Chakan, Pantnagar, and Aurangabad.