Hero Cycles earmarks Rs 100 Cr contingency fund to deal with coronavirus pandemic
With the COVID-19 outbreak expected to unleash long-term economic consequences, Hero Cycles announced that it is setting aside Rs 100 crore as a contingency fund to address and mitigate its impact on partners and the community at large.
Hero Cycles, on Tuesday, said it is setting aside Rs 100 crore as a contingency fund to address and mitigate the impact of coronavirus pandemic on partners and the community at large.
Incorporated in 1966, the company has units in Ludhiana (Punjab), Bihta (Bihar) & Ghaziabad (UP). Hero Cycles also exports to various countries in Middle East, Africa, Asia and Europe.
Pankaj M Munjal, chairman HMC, a Hero Motors Company said in a statement,
"We understand that long-term lockdowns are bound to impact the supply chains and livelihoods associated with our business. At such a time, we want to make sure that we do our best in cushioning our partners, distributors, associates, employees as well as the communities we work in, against economic troubles. As an organisation that stands for the principles of business with a humane approach, we are allocating Rs 100 crore as a contingency fund to help the entire ecosystem around our organisation survive this crisis."
The organization has also reached out to the governments in states where it has major facilities (Punjab, Bihar and Uttar Pradesh) to extend any help required by authorities in addressing the crisis. Hero Motor Company’s international subsidiaries are undertaking a similar exercise in the UK & Germany where they have significant presence.
Hero Cycles has also set up an emergency monitoring cell headed by Pankaj Munjal to closely monitor the economic repercussions of the pandemic and, its impact on the organisational supply chains.
The cell is overseeing planning of supply chain resumption as and when the situation normalises, medical support for employees and their families, and support for communities around key manufacturing facilities, the company said.
The company is also ensuring that all its employees comply with the requisite social distancing norms for this condition and propagate a collective social responsibility. The organization has therefore mandated work from home for all possible functions and is ensuring business continuity through its state-of-the-art IT systems.
(Edited by Kanishk Singh)