Wednesday, March 4, 2009

Dunlop to reopen Shahgunj plant on Friday

Dunlop India Ltd said that the management has decided to reopen the Shahgunj plant from March 6 after three months of suspension of work announced on November 30.

The company in a statement said it would reopen the maintenance and engineering division initially with 229 workers to begin repairing and refurbishing of the plant.

The remaining workers would be inducted later in different departments in a phased manner, it added.

The management said it hoped to sort out all pending issues with the labour unions after the commencement of the repairing and refurbishing.

The reopening would also be without any pay-cut as the matter was under discussion with the labour unions.

The tyre-maker said a few bankers had given assurances on disbursal of the working capital needed for running the plant on a sustained manner.

It said that the West Bengal government on its part has informed that the relief and incentives applied for were under active consideration.

Dunlop had sought VAT benefit and a loan close to Rs 100 crore from the state government.

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