Global companies must compete on the strength of their technology, value, and pricing rather than relying on low labour costs or being positioned as low-cost manufacturers, Jairam Varadaraj, MD, Elgi Equipments, said here, on Tuesday.
“At Elgi, we want to make our labour expensive and still be competitive. We do not believe in just creating employment but making it high value,” he said. He urged businesses to not use people to “just bridge broken processes.”
Varadaraj was speaking at the 190th Chamber Day Celebrations of the Madras Chamber of Commerce & Industry (MCCI).
Interestingly, Varadaraj noted that Elgi has a goal in the next 5-6 years to make all employees as owners. We have already started this for three levels of employees and more will be added, he said.
“We don’t have any union or wage agreement with our workers. We operate on a principle understanding that standard of living will be protected,” he said, noting that high levels of trust drive their relationship.
Cameron Noble, Deputy Consul-General Australian Consulate-General, Chennai, the Guest of Honour at the event, said that the Australia–India relationship is entering a new phase of greater scale, momentum and opportunity.
He referred to the Economic Cooperation and Trade Agreement (ECTA), which came into force in 2022, as a significant milestone in bilateral trade relations.
Australia’s roadmap for strengthening economic relations with India, is focused on four key areas of clean energy, education and skills, agribusiness and tourism, he said.
Published on September 29, 2026
