Bosch Concludes Wage Settlement With Plant Workmen Union

BENGALURU, December 9, 2014 /PRNewswire/ --

- Company Stands Firm on its Final Wage Offer Made to the Union at the end of October. Settlement Ratified With Referendum Involving Workmen and Signed on December 8, 2014 

- Introduction of International Industrial Engineering (IE) Standards for Improving Productivity 

- Basket Amount of Rs. 8,500 per Month With a Performance Linked Incentive Scheme 

- Overall Benefits Amongst the Best in the Comparable Industries 

- Settlement Objectives Fully Achieved While Also Meeting Customers' Requirements  

The Bengaluru plant of Bosch Limited has concluded the wage settlement, for the period 2013-2016, with its Workmen Union-Mico Employees' Association (MEA) - on December 8, 2014. With the signing of this settlement, the prolonged illegal strike called by the Union on September 16, 2014 comes to an end. The Workmen Union has agreed to accept the company's last offered wage and benefits proposal that would enable the earning potential - the monthly cost-to-company (CTC) - of an average workman to increase from Rs. 64,000 to Rs. 86,000; subject to working as per industrial engineering standards for 7.5 hours of work in an eight-hour shift.

"I am pleased to see our 2,500 workmen resume production. Despite the adverse effect of the strike, the company has made a generous offer to its Workmen Union and expects them to adhere to the agreed measures on productivity standards," said Dr. Steffen Berns, Managing Director of Bosch Limited on the signing of the settlement. "Bosch is convinced that its highest priority is to retain the trust of its customers and reinforce its image as a reliable business partner. Thus it is extremely important that we have been able to serve our customers' demands throughout this extended illegal strike. The company will continue its efforts towards establishing a trustful collaboration with its workmen and jointly finding a way to help the company in maintaining its competitiveness. This settlement is a step towards securing the future of our Bengaluru plant. We would like to reaffirm our commitment to India and its strong growth potential," Dr. Berns elaborated further.

With this mutually agreed wage settlement, Bosch Limited's Bengaluru plant will continue to be one of the best paymasters in the manufacturing and other comparable industries. The company has also offered to confirm 100 of the 370 temporary workmen at a new intermediate wage level despite the fact that in future it is likely to have excess manpower due to change in product mix.

"The company would like to express its gratitude to the State Government of Karnataka, the Labor department and customers for their support throughout the settlement process. The company also acknowledges the unrelenting efforts of its officers who voluntarily supported the production during the strike period, thus ensuring uninterrupted supply of products to its customers. Our commitment to customers is always paramount and we demonstrated the same by ensuring that the strike had minimal impact on our supply chain. The current wage settlement endeavors to prepare Bosch for being 'future ready' through implementation of sustainable measures to support the growing needs of the Indian automotive industry," concluded Dr. Berns.

About Bosch in India 

In India, Bosch is a leading supplier of technology and services in the areas of Mobility Solutions, Industrial Technology, Consumer Goods, and Energy and Building Technology. Additionally, Bosch has in India the largest development center outside Germany, for end-to-end engineering and technology solutions. The Bosch Group operates in India through six companies, viz, Bosch Limited, Bosch Chassis Systems India Limited, Bosch Rexroth India Limited, Robert Bosch Engineering and Business Solutions Limited, Bosch Automotive Electronics India Private Limited and Bosch Electrical Drives India Private Limited. In India, Bosch set up its manufacturing operation in 1953, which has grown over the years to include 10 manufacturing sites, and seven development and application centers. Bosch Group in India employs around 26,000 associates and generated a consolidated revenue of nearly Rs. 13,200 crores in 2013.

In India, Bosch Limited is the flagship company of the Bosch Group. It earned a revenue of over Rs. 8,600 crores in 2013.

Additional information can be accessed at www.boschindia.com

About Bosch 

The Bosch Group is a leading global supplier of technology and services. In 2013, its roughly 281,000 associates generated sales of 46.1 billion euros. (NB: Due to a change in accounting policies, the 2013 figures can only be compared to a limited extent with the 2012 figures). Its operations are divided into four business sectors: Mobility Solutions, Industrial Technology, Consumer Goods, and Energy and Building Technology. The Bosch Group comprises Robert Bosch GmbH and its roughly 360 subsidiaries and regional companies in some 50 countries. If its sales and service partners are included, then Bosch is represented in roughly 150 countries. This worldwide development, manufacturing, and sales network is the foundation for further growth. In 2013, the Bosch Group invested some 4.5 billion euros in research and development and applied for some 5,000 patents. This is an average of 20 patents per day. The Bosch Group's products and services are designed to fascinate, and to improve the quality of life by providing solutions which are both innovative and beneficial. In this way, the company offers technology worldwide that is "Invented for life."

Additional information is available online at www.bosch.com, www.bosch-press.com and http://twitter.com/BoschPresse

Media Contact : Roohie Menon, [email protected], +91-80-22992440, Bosch