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Ford workers make their final punch out

TSA Desk by TSA Desk
October 1, 2022
in News
Reading Time: 1 min read
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Management, union sign agreement; company announces one-month extra pay for those who complete exit process by Oct. 14

Management, union sign agreement; company announces one-month extra pay for those who complete exit process by Oct. 14

Ford India and the Chennai Ford Employees Union (CFEU),, representing 2,592 hourly permanent employees, on Friday signed a settlement agreement, concluding the negotiations on the severance settlement package. And Friday was the last date of employment for the employees at the Chennai plant.

Balasundaram Radhakrishnan, Transformation Officer, Ford India, in a statement said: “I thank the team at Ford as well as the Chennai Ford Employees Union for negotiating in good faith and arriving at a settlement outcome that keeps the best interest of employees at heart.”

The final settlement package (an average equivalent of 140 days of gross wages per completed year of service and additional Rs.1.5 lakh lumpsum per employee) translates to an average of about 62 months of salary for each employee.

Keeping the upcoming festival month in mind, the company, as a goodwill measure, has decided to pay an additional one-month of gross wages as a sign-on benefit for employees who complete the exit process by October 14.

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