The two-wheeler maker India Yamaha motor had faced massive labour unrest last year and has since been working to sign a wage settlement agreement. Finally, Company has signed a long-term wage settlement with its internal employees union ‘India Yamaha Motor Thozhilalar Sangam’ for its Chennai factory.
The three-year wage settlement will be implemented with retrospective effect from April 1, 2019, and will remain effective until March 31, 2022. And will be applicable to all the permanent employees in Yamaha’s Chennai factory.
Commenting on the development, Yamaha Motor India Group of Companies Chairman Motofumi Shitara said, “It is a significant achievement for the company and a major boost to the confidence of our employees at the shop floors.”
Mr. Shitara also added, the agreement further reiterates the Yamaha’s commitment to building a healthy working atmosphere within the company and nurture the concept of ‘One Yamaha’ among all.
As per the agreement, employees would also be eligible for an additional rise in their cost to the company (CTC), depending on their productivity, level of the skill attained and experience over the three-year period.
Yamaha said the wage fixation is based on three parameters —
- Individual Performance
- Shop Performance
- Plant Performance.
It will not only improve the employee’s performance but also contribute to achieving the company’s production targets from the Chennai factory.