CHENNAI, India (Feb. 7, 2008) — MRF Ltd. reopened its manufacturing facility Feb. 5 on the outskirts of Chennai after a 60-day lockout.
The move came after the Tamil Nadu government threatened to take over MRF´s manufacturing facility if the authorities failed to resolve the industrial dispute.
After a dialogue with a government mediator and the workers´ union Feb. 4, and a meeting between MRF Chairman M. Mammen and Chief Minister M. Karunanidhi, MRF management told the Madras High Court that all issues would be negotiated.
Nearly 600 workers began working at the plant the morning the plant reopened.
The plant, the largest among the MRF´s six manufacturing facilities, has the capacity to produce about 2,600 tires a day, including 1,000 truck tires.
The management shut the factory in early December after accusing the workers of "not meeting productivity norms and indiscipline," and then took the dispute with workers to court.