Tata Motors shut down its plant for five days from Tuesday amid an ongoing slump in the auto sector with the company deciding to use the "block closure" to conduct routine maintenance.
Employees of the plant that produces heavy commercial vehicles like trucks, trailers, tippers, buses and other multi-axle vehicles, have been asked to report for duty on May 24 as May 23 is a Sunday, which is a weekly holiday.
Company sources said the five-day closure was also aimed at preventing the unnecessary build-up of inventory at a time when production was low. Officials of the Tata Motors Workers' Union said production of commercial vehicles had come down considerably due to the partial lockdown continuing for the last month.
"Production in Tata Motors ancillary units at Adityapur in adjoining Seraikela-Kharsawan district was also severely affected due to the pandemic and the lockdown," said a union functionary, adding that work orders had come down considerably, which prompted the closure.
The company observed a one-day block closure earlier this month on May 12. A two-day block closure was also observed on May 4 and 5. Last month, a one-day block closure was observed on April 10. Later, a two-day block closure was held on April 29 and 30.
As per an internal communication sent to employees on Monday, the company said that workmen affected by the block closure shall avail their privilege or casual leave for 50 per cent of the day and for the remaining half of the period they shall be paid normal wages/salary.
The internal communication further said that a separate notice would be issued for the employees who would be required to work during the block closure by the concerned division or department head.