Lockout Halts Toyota Car Production In India

"We have revised our offer to 3, 050 from 2, 400 per month and are not in a position to give more as we are passing through a difficult period due to declining sales and severe impact from a steep depreciation in rupee against dollar on import of components for our range of models," Viswanathan said.

Of the 6,400 employees, 4,400 are permanent and 2,000 are on contract.

"One of the reasons for the lockout could be to reduce production and lower inventory, which has been piling up due to declining sale of vehicles rolled out of the plants," Kumar said.

The management gave 4,000 increase per employee in the previous fiscal (2012-13).

The 16-year-old joint venture rolls out a range of models, including Innova multi-utility vehicle, Camry sedan, Prius hybrid, Corolla Altis, Etios, Prado and Land Cruiser, with some of them imported as completely built units.

This is the second time lockout was declared after 2006 over dismissal and suspension of some employees then.

Toyota holds 89 percent equity in the joint venture with the remaining 11 percent by the Pune-based Kirloskar group.

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