INSUBCONTINENT EXCLUSIVE:
Lucas TVS supplies components to 90 per cent of automobile manufacturers in India.In Chennai, two auto component majors from the TVS group -
Lucas TVS and Sundaram Clayton - have become the latest victims of the auto sector slowdown.On Thursday, auto electrical major Lucas TVS
announced three non-working days till August 17 across all divisions in its Chennai plant except wipers, ABS and CCD
In a circular to its employees, the company said: "The situation is being monitored
Employees will be intimated when the business climate gets stable
We shall decide later on making up these non-working days."The 57-year-old company supplies components to 90 per cent of automobile
The Chennai plant employs around 3,000 people and for the last one month, many say most employees have worked for just four days a week.One
employee having worked for 15 years with Lucas TVS told TheIndianSubcontinent: "We never had this situation, not even when workers went on
So far our salary hasn't been cut
But many companies are laying off people and I am worried
What will happen to my family?"Lucas TVS did not divulge details on the quantum of its losses and the situation in its other six plants
across the country.Sundaram Clayton, a manufacturer and supplier of aluminium die-caste products to domestic and global automobile
manufacturers, has declared non-working days on August 16 and 17 in its factory at Padi, Chennai.The company said: "This is due to business
slowdown across sectors."Officials didn't share any further information on the slump and its impact on employees
Sundaram Clayton has five plants in the country and abroad.Last week, an estimated 3.5 lakh people were estimated to have lost their jobs
due to the slowdown in the auto sector.Smaller auto component hub players like Roy have cut down operations by 70 per cent due to lack of
He has laid off three of his 13 workers.AN Sujeesh, president, Ambattur Industrial Estate Manufacturers' Association, told
TheIndianSubcontinent, "The future looks very bleak and it may take a long time
We need reduction of GST from 28 per cent to 18 per cent, and for smaller players from 18 per cent to 5 per cent
We've communicated the crisis to several government agencies
Hope they respond fast."The crisis now has turned into a political rallying call for the opposition
DMK Chief MK Stalin said it is time the government "woke up and addressed the crisis".DMK Spokesperson A Saravanan said: "With so many
carmakers and auto component manufacturers around Chennai, Tamil Nadu will bear the brunt of the slowdown of the auto sector
When factories work only on specific days in a week workers won't get salary on other days workers will directly."Get Breaking news, live
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