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Hero Honda workers call off strike

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Last updated on: April 15, 2006 16:47 IST

Hero Honda on Saturday said it had resumed production at its Gurgaon plant after striking peace with agitating contract workers who called off their five-day stir "peacefully and unilaterally."

"... Normalcy has been restored at the company's Gurgaon plant with the commencement of production this morning. The Gurgaon plant will be operating at its full capacity," the company said in a statement.

In order to complement the loss of production, output at its Dharuhera plant had been stepped up, Hero Honda said.

The company late last night reached peace with the 2,000-odd agitating contract workers who had struck work since April 10 demanding regularisation of jobs, higher wages along with medical and other benefits which are extended to permanent staff.

"The contractors have agreed to address some of the genuine grievances of the contract workers," Hero Honda said. However, the company statement did not mention whether Hero Honda would directly extend some benefits to contract workers.

Stating that the "long-standing goodwill of the management and company HR practices prevailed upon the contract workers," Hero Honda said it had extended full cooperation in the reconciliation talks which also involved the local adminstration and contractors.

"As a responsible corporate, the company provided the striking workers all the facilities, including full meals," it said.  As the strike prolonged, the company had on Friday said the strike will "not impact" its annual profitability or production targets.

"Hero Honda aims to make up the production loss by stepping up production from the current 5,800 units per day to 6,500 units per day, post commencement of operations at its Gurgaon plant," it said in a statement.

The company has also claimed that the strike had no immediate effect on the availability of its products at the dealerships. "Due to the very nature of the business, there are sufficient stocks in the pipeline and at the dealerships," it said.

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