JLR offers 7.5% salary hike for over 21,000 employees
Mumbai: The Tatas-owned Jaguar & Land Rover (JLR) has offered to hike salaries of over 21,000 employees by 7.5 percent effective next month, subject to a ratification by the union members through a ballot that is likely to take place soon, according to a company official here.
"We have offered a 7.5 percent wage hike to over 21,000 employees of JLR in two tranches. While the first hike of 4.5 percent will be effective from November 1, the second increase of 3 percent will be from November 1, 2013," a spokesperson for JLR in India said on Sunday.
However, he added, that the proposal has to be approved by the union members through a ballot, which will take place any day from now.
When asked whether the management is hopeful of the union approval, he said, "we hope so," adding under the British labour laws, wages have to be upped in every three years and so is the balloting process.
Tata Motors bought the sick JLR from Ford Motor in the middle of the global credit crisis in March 2008 for USD 2.3 billion.
According to British media reports, the offer is one of the best in England and is likely to go through with the unions, and comes in the wake of robust sales in recent months.
In the three months ended June, the carmaker reported a 34 percent spike in sales, selling 83,452 units.
The surge is driven by the new Range Rover Evoque, the spokesman said, adding the booming demand is driven by China, the US, Russia and England in that order.
China alone accounts for about a quarter of total sales, up from 15.7 percent a year ago and is the largest market now for the company.
JLR, which makes the English marquee brands under Jaguar and Land Rover labels, has five plants in the isles and employs over 21,000, who are affiliated to many unions including the Unite Union, which has 17,000 members at JLR.