Tyre manufacturer Apollo Tyres Ltd on Wednesday (September 20) announced the temporary cessation of bias off-the-road (OTR) tyre production at its manufacturing facility located in Limda, Gujarat.
The decision was prompted by concerns raised among shop floor employees regarding the renewal of a long-term settlement agreement, according to a stock exchange filing.
Apollo Tyres said it has started discussions and negotiations with labour union representatives to address the employees' apprehensions.
"The company is dedicated to the welfare of its employees, the interests of its stakeholders, and the continued stability of the organisation. While the company is monitoring the situation closely, there are plans in place to mitigate any supply disruptions," it said.
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Apollo Tyres is determined to find an amicable resolution that satisfies the concerns of its workforce. There is no material impact on the operations at this stage, it added.
The company sells its products in 170 countries across the world, with India and Europe being the two major markets. In 2022-23, Apollo Tyres clocked consolidated revenue from operations of Rs 24,568 crore against Rs 20,948 in 2021-22.
Shares of Apollo Tyres Ltd ended at Rs 379, up by Rs 6.15, or 1.65 percent, on the BSE.
