Toyota has finally agreed to allow 6,400 employees back to work at its two plants outside of Banglore, nearly a next week after suspending production due to a pay dispute with workers, that they say not only disrupted production but posed a threat to management personnel. Toyota’s Indian unit, Toyota Kirloskar Motor Private Ltd produces approximately 310,000 vehicles a year. The factories near Bangalore are Toyota's only vehicle plants in the country, no considered to be the sixth-biggest auto market in the world.
The decision to lift the lockout came is said to be “in consideration of the laws-abiding team members, who could return to work after signibng a code of conduct.” However, the company has yet to resolve wage negotiations begone nearly as year ago.
Toyota isn’t the only automanufacturer in India being hit by labor unrest, where workers are demanding higher wages.Honda has also been targeted in recent years, and a a riot dispute at Suzuki Motor Corp's unit Maruti Suzuki India Ltd. left 100 people injured and one dead, as well as caused a month-long production loss of over $250 million in 2012.