Hindustan Unilever : HUL & former employees of Kodaikanal factory sign settlement

Mr Dev Bajpai, Executive Director - Legal and Corporate Affairs, HUL said, 'We have worked hard over many years to address this and find the right solution for our former workers. We, alongside all involved, are glad to see an outcome to this long-standing case. The wellbeing of our employees and the communities in which we operate has and will always remain paramount. This agreement demonstrates our commitment to this'.

HUL has been engaging with former workers' representatives to reach an amicable agreement for several years now, on the advice of the Hon'ble Madras High Court. In the last two years, the company has had multiple meetings with the former workers' representatives to resolve this issue in a mutually satisfactory manner.

S.A. Mahindra Babu, the president of the Pond's HLL ex-Mercury Employees Welfare Association, said, 'We welcome the actions taken by HUL to bring these negotiations to a satisfactory closure. We are pleased with all the terms of the agreement which will help to ensure the long-term health and well-being of the factory's former workers. We now consider this issue to be fully resolved and have no more grievance against the Company in this regard.'

This agreement was signed on March 4, 2016 in the presence of representatives of former workers and HUL. As part of the agreement, HUL, with an objective to ensure long term wellbeing of its former workers, has agreed to provide ex gratia payments to 591 former workers/association members and their families towards livelihood enhancement projects and skill enhancement programs.

The former employees have confirmed this as a full and final settlement of all their claims and demands. They will withdraw the petition they had filed in February 2006 in the Hon'ble Madras High Court.