Leading tyre manufacturer MRF, in a filing to the Bombay Stock Exchange today, said it had declared a lock out at its Kottayam plant following labour unrest.
The company said it had declared the lock out with effect from 5 am today on account of labour unrest.
According to unnamed union sources cited by PTI, the lockout at the Vadathoor plant was a fall out of a dispute between an employee and a supervisor over alleged unauthorised leave.
The company did not allow the employee to join duty on Saturday and other workers staged a 'walkout', in his support, a union office-bearer told PTI over phone on condition of anonymity.
The plant which has not been operational since the last four days is said to be suffering losses or about Rs22 crore due to it, he said.
The Kottayam plant, which manufactures tyres and tubes has around 1,350 employees on its rolls in all three shifts
according to the office bearer.
MRF Tyres with seven manufacturing facilities in South India, exports tyres and conveyor belts to over 65 nations, including US, Europe, Middle East, and Japan.