MADRAS RUBBER FACTORY
Lockout At MRF Tyres
Prerna verma
Anjali Ranjan
Swati Shukla
Prachi Patel
Hardik Shah
1
About MRF
 Indian based company
 Managing distribution and sales of tyres
 Primary in manufacture of rubber products
 Exports to more than 65 countries
 Has six factories in all : two at Arakkonam (Puducherry), one
at Tiruvottiyur (Tamil Nadu) and three in other states
 http://en.wikipedia.org/wiki/MRF_Limited
2
Who did the strike?
 Factory workers were involved in the strike every
time
 Spearheaded by Anna Thozhir Sanga Peravai (ATSP)
and supported by MRF United Workers’ Union
(UWU) affiliated to United Labour Federation.
http://kafila.org/2009/09/24/mrf-united-workers%E2%80%99-union-case-
ramapriya-gopalakrishnan/
3
Why did the strike happen?
1) From 17 May, 2009 to 28 May 2009
 100 of workers were on strike
Raise in basic wages
Recognition of union
Basic salary structure instead of piece rated bases
http://kafila.org/2009/09/24/mrf-united-workers%E2%80%99-union-case-
ramapriya-gopalakrishnan/
4
2)From 12 October, 2010 to 20 October, 2010
 800 workers sit in strike inside the factory
 Who produced 45000 tyres on three shift basis
 They want recognition of union by management
 Reinstatement of the dismissed workers
 Fighting for two workers as they were jailed on false charges
 1000 of crores was lost in this strike
http://kafila.org/2009/09/24/mrf-united-workers%E2%80%99-union-case-
ramapriya-gopalakrishnan/
5
3) 20 June, 2013 to 30 June, 2013
 Workers were protesting for a unilateral agreement in wage hike
 As management has filled a special leave petition challenging the order
of high court of 2009
 They asked the Labour Commissioner to verify the claims of all unions
about their strength, enquire into dual membership of workers and
decide the union commanding the majority among workers through
secret ballot
http://kafila.org/2009/09/24/mrf-united-workers%E2%80%99-union-case-ramapriya-
gopalakrishnan/
6
Impact on the Company
 Labor unrest is impacted production of some of the
leading automobile makers, including Honda
Motorcycle and Scooter India (HMSI), Bajaj Auto
and Maruti Suzuki India (MSI), to whom the tyre
major is an original equipment supplier
http://kafila.org/2009/09/24/mrf-united-workers%E2%80%99-union-case-
ramapriya-gopalakrishnan/
7
Steps They Took
 Issued lockout
 Hold talk with the representatives of union
 Employees will receive 5000 increase in total pay
 Pending issues were sorted out
 Ad-hoc payment of 15000 to workman
 Increased retirement age to 55 from 58
 http://www.thehindu.com/todays-paper/tp-national/tp-tamilnadu/arakkonam-mrf-
plant-lockout-lifted/article292219.ece
8

Lockout at mrf tyres

  • 1.
    MADRAS RUBBER FACTORY LockoutAt MRF Tyres Prerna verma Anjali Ranjan Swati Shukla Prachi Patel Hardik Shah 1
  • 2.
    About MRF  Indianbased company  Managing distribution and sales of tyres  Primary in manufacture of rubber products  Exports to more than 65 countries  Has six factories in all : two at Arakkonam (Puducherry), one at Tiruvottiyur (Tamil Nadu) and three in other states  http://en.wikipedia.org/wiki/MRF_Limited 2
  • 3.
    Who did thestrike?  Factory workers were involved in the strike every time  Spearheaded by Anna Thozhir Sanga Peravai (ATSP) and supported by MRF United Workers’ Union (UWU) affiliated to United Labour Federation. http://kafila.org/2009/09/24/mrf-united-workers%E2%80%99-union-case- ramapriya-gopalakrishnan/ 3
  • 4.
    Why did thestrike happen? 1) From 17 May, 2009 to 28 May 2009  100 of workers were on strike Raise in basic wages Recognition of union Basic salary structure instead of piece rated bases http://kafila.org/2009/09/24/mrf-united-workers%E2%80%99-union-case- ramapriya-gopalakrishnan/ 4
  • 5.
    2)From 12 October,2010 to 20 October, 2010  800 workers sit in strike inside the factory  Who produced 45000 tyres on three shift basis  They want recognition of union by management  Reinstatement of the dismissed workers  Fighting for two workers as they were jailed on false charges  1000 of crores was lost in this strike http://kafila.org/2009/09/24/mrf-united-workers%E2%80%99-union-case- ramapriya-gopalakrishnan/ 5
  • 6.
    3) 20 June,2013 to 30 June, 2013  Workers were protesting for a unilateral agreement in wage hike  As management has filled a special leave petition challenging the order of high court of 2009  They asked the Labour Commissioner to verify the claims of all unions about their strength, enquire into dual membership of workers and decide the union commanding the majority among workers through secret ballot http://kafila.org/2009/09/24/mrf-united-workers%E2%80%99-union-case-ramapriya- gopalakrishnan/ 6
  • 7.
    Impact on theCompany  Labor unrest is impacted production of some of the leading automobile makers, including Honda Motorcycle and Scooter India (HMSI), Bajaj Auto and Maruti Suzuki India (MSI), to whom the tyre major is an original equipment supplier http://kafila.org/2009/09/24/mrf-united-workers%E2%80%99-union-case- ramapriya-gopalakrishnan/ 7
  • 8.
    Steps They Took Issued lockout  Hold talk with the representatives of union  Employees will receive 5000 increase in total pay  Pending issues were sorted out  Ad-hoc payment of 15000 to workman  Increased retirement age to 55 from 58  http://www.thehindu.com/todays-paper/tp-national/tp-tamilnadu/arakkonam-mrf- plant-lockout-lifted/article292219.ece 8