Tata Motors Ltd. has been constrained to suspend the construction and commissioning work at the Nano Plant in Singur in view of continued confrontation and agitation at the site. This decision was taken in order to ensure the safety of its employees and contract labour, who have continued to be violently obstructed from reporting to work. The company has assessed the prevailing situation in Singur, after five continuous days of cancellation of work, and believes that there is no change in the volatile situation around the plant. The project’s auto ancillary partners, who had commenced work at their respective plants in Singur, were also constrained to suspend work in line with Tata Motors’ decision.
In view of the current situation, the company is evaluating alternate options for manufacturing the Nano car at other company facilities and a detailed plan to relocate the plant and machinery to an alternate site is under preparation. To minimize the impact this may have on the recently recruited and trained people from West Bengal, the Company is exploring the possibility of absorbing them at its other plant locations.
Construction of the plant has faced challenges at various points of time. There has however been a significant decline in the attendance of their staff and contractual labour since August 24, 2008. Some of the international consultants working on the plant have returned home and the construction work in the plant has been stalled since August 28, 2008. In fact,