Bata sold over 60 million pairs per annum in India and also exported its products in overseas markets including the US, the UK, Europe and Middle East countries.
Strikes seemed to be a perennial problem. This was the second attack on an officer after Weston took charge of the company, the first one being the assault on the chief welfare officer in Inthe factory was closed for four and a half months.
In Octoberthe unit resumed production when Bata signed a three-year wage agreement. When Weston tried to leave the room the workers turned violent and assaulted him. Dutta reportedly got into a verbal duel with Weston, upon which the other workers began to shout slogans.
They also demanded that conditions such as maintaining normal production schedule, conforming to standing orders and the settlement in force should not be insisted upon.
By the end of financial yearBata managed to report rising profits for four consecutive years after incurring its first ever loss of Rs. InBata entered into a 3-year bipartite agreement with the workers, represented by the then 10, strong BMU, which also had the West Bengal government as a signatory.
InBata entered into a 3-year bipartite agreement with the workers, represented by the then 10, strong BMU, which also had the West Bengal government as a signatory. When the new management team weeded out irregularities and turned the company around within a couple of years, tackling the politicized trade unions proved to be the hardest of all tasks.
However, by the third quarter ended September 30,Weston was a worried man. In SeptemberBata was heading towards a major labour dispute as Bata Mazdoor Union BMU had requested West Bengal government to intervene in what it considered to be a major downsizing exercise.
When Weston tried to leave the room the workers turned violent and assaulted him. The new leadership of the union had refused to abide by the wage agreement, which was to expire in August It outsourced over 23 million pairs of footwear per year from various small-scale manufacturers.
Throughout its history, Bata was plagued by labor problems with frequent strikes and lockouts at its manufacturing facilities. The employees demanded revocation of suspension against 20 of their fellow employees.
The lock out lasted for eight months.
Inthe factory was closed for four and a half months. In JulyBata lifted the lockout at the Peenya factory.
These steps had resulted in lower income for the workers forcing them to approach the government for saving their interests. The company provided employment to over 15, people in its manufacturing and sales operations throughout India.
Its staff costs of Rs. Following the failure of its negotiations with the union, the management decided to go for a lock out. Weston resigned on January 30, The union said that Bata has started outsourcing the Power range of fully manufactured shoes from China, compared to the earlier outsourcing of only assembly and sewing line job.
As on February 08,the company had a market valuation of Rs. This came as a severe setback to the Bata management. Bata management was of the view that though it would have to bear the cost of maintaining an idle plant Rs. It was inthat the company for the first time signed another long-term bipartite agreement with the unions without any disruption of work.
Apprehensive about labor problems spilling over to other units, the company entered into similar long-term agreements with the unions at its manufacturing units at Bangalore and Faridabad.
Bata was once again on the downward path.
Dutta reportedly got into a verbal duel with Weston, upon which the other workers began to shout slogans. The company was headed by the 60 year old managing director William Keith Weston Weston.
In SeptemberBata was again headed for a labour dispute when the BMU asked the West Bengal government to intervene in what it perceived to be a downsizing exercise being undertaken by the management.
BMU justified this move by alleging that the management has increased outsourcing of products and also due to perceived declining importance of the Batanagar unit.
Industrial Relations For Bata, labor had always posed major problems. The company had a distribution network of over 1, retail stores and 27 wholesale depots. Strikes seemed to be a perennial problem. He was popularly known as a "turnaround specialist" and had successfully turned around many sick companies within the Bata Shoe Organization BSO group.Case Study On Industrial Relations Bata.
Case study-BATA INDIA'S HR PROBLEMS ASSAULT CASE More than half of Bata's production came from the Batanagar factory in West Bengal, a state notorious for its militant trade unions, who derived their strength from the dominant political parties, especially the left parties.
Notwithstanding the giant conglomerate's grip on the shoe market in India, Bata. Bata Case Study raulpin IR Case Study Slide Dragon. Bata indias-hr-problems Mehul Mehta.
Bata gakarerakesh. Industrial relations at bata Shubhra Dewangan. Case Study Presentation: Global Industrial Relations at Ford Motor Company Lily Busher. settlement of industrial disputes with case study: Hero Honda SUDARSHAN TIWARI. English. CASE INDUSTRIAL RELATIONS.
For Bata, labor had always posed major problems. Strikes seemed to be a perennial problem. The case study focuses on the HR problems faced by Bata India.
Labor strife and the management's inability to deal with it effectively has resulted in huge losses for the company.
After a brief turnaround of four years (), Bata was once again moving towards declining path. STRICTLY FOR ACADEMIC USE AND LEARNING CASE STUDY ON INDUSTRIAL RELATIONS Bata India's HR Problems. For right or wrong reasons, Bata India Limited (Bata) always made the headlines in the financial dailies and business magazines during the late s.5/5(1).
The case study focuses on the HR problems faced by Bata India. Labor strife and the management's inability to deal with it effectively has resulted in huge losses for the company.
After a brief turnaround of four years (), Bata was once again moving towards declining path. The case highlights various HR issues which Bata has to immediately deal with in order to have productive workforce.Download