Government May Act Out Of Fear, Hold Back In COVID Fight: Rajiv Bajaj

In an exclusive interview to NDTV, managing director of Bajaj Auto, Rajiv Bajaj on Friday said that with the plants currently being shut, things cannot be worse than this. However, the head of Pune-based two-wheeler giant said that the problems being faced by auto sector existed before the spread of coronavirus.

"The problem for auto sector is over regulation and not liquidity crunch," he said. Over regulation is primarily because of insurance, safety, and now the emission norms which has driven the average price of two wheeler by 35 per cent in 18 months, Mr Bajaj said.

Mr Bajaj also clarified that at the current juncture the company will not sack any employee. Mr Bajaj has himself decided to forgo his salary for the period of lockdown from April 15-May 3.

Senior management and unions have voluntarily decided to take wage cut, he said.

"The union has voluntarily decided to take 10 per cent wage cut, middle and top management will take more cut. We have not yet taken any decision and will see how lockdown pans out," Mr Bajaj said.

Speaking on ways to arrest the spread of the virus, Mr Bajaj stressed upon the need to develop herd immunity rather than lockdown.

"I don't think issues can be approached whether to lock down or not lock down and how to unlock and when to unlock we must have a road map for developing herd immunity because if there is one solution to this problem then eventually we need to have herd immunity," he said.

Highlighting upon the example of other pandemics he said, "Swine flu was there in 2009-10 even today common flu kills 6,00,000 people globally and it will keep coming back with different names like SARS and others. Unless we develop herd immunity numbers will go up does that mean are we stay locked down".

There should be a roadmap for developing herd immunity that taken along with testing will provide a pragmatic middle path out of this lockdown, Mr Bajaj also added.