Heavy Industries and Public Enterprises Minister Prakash Javadekar. (Photo Credit: PTI file)
The automobile industry reported retrenchment of temporary workforce but no confirmed data on job loss is available with the government, Heavy Industries and Public Enterprises Minister Prakash Javadekar said on Monday. In a written reply in the Rajya Sabha on the slump in sale of automobiles, the minister said there are cyclical slowdowns in many economies.
He informed the House that 17.1 million vehicles (all categories) were sold during April-December, 2019 as against 20.3 million vehicles sold during the same period in 2018.
“Retrenchment of temporary workforce has been reported by the industry. However, no confirmed data on job loss is available with the Government,” the minister said.
Javadekar further said the government, as a policy-maker, always attempts to keep and improve momentum of the economy through a package of measure for comprehensive and continued development of the auto sector as and when required.
He also cited some of the steps taken by the government to counter automotive slowdown.
Those include, reduction in corporate tax to 22 per cent, proposed increase in registration of new cars deferred till June 2020, banks recapitalisation, and linking of repo rate to interest charged for vehicle purchased.
The minister informed the House that a scrappage policy was also under consideration.