Tata Motors has shut down its plant at Jamshedpur, Jharkhand — which manufactures trucks, buses and heavy commercial vehicles — for five days, starting May 18. The Indian vehicle-manufacturing company will use this period to carry out regular maintenance at the plant, amidst the second wave of the pandemic and to help “break the chain”. This block closure will also be a relief to about half its workforce that relies on public transport to get to work. Due to the lockdown, it is getting difficult for them to travel, with buses off the road in Jharkhand till May 27.
Production at the plant has reportedly become quite low. This closure will also keep inventory in check amidst low production.
This is not the first time that a block closure has been announced. The plant was shut down more than twice earlier this month and twice even in April.
The plant has informed that the workmen impacted by the block closure will avail their privilege or casual leave for 50 per cent of the day, while they will be paid their normal salary/wages for the rest of the period.
With the automobile sector staring at a dip in demand, the board of Tata Motors will be looking at ways to raise funds, by issuing instruments, such as convertible securities or debt securities in the domestic and/or global markets.
