Nakanishi dispels rumours that the company would shut down Manesar plant
Two days after a manager was killed in a worker riot at Maruti Suzuki’s Manesar plant, there is little clarity on when production shall resume. Company officials said they would de-recognise the Maruti Suzuki Workers Union, and dismiss workers found to have participated in Wednesday’s attack. The police have arrested 91 workers thus far.
“We have to assess the damage and conduct an internal investigation before taking a decision on production,” company’s Managing Director and CEO Shinzo Nakanishi told reporters. “We have an inventory of about 15,000 units at our plant and a total inventory of about 1,00,000 units, which should last for about one month.”
The plant manufactures Maruti’s most popular models like the Swift and A Star hatchbacks and the Swift Dzire and SX4 sedans, and has a history of labour unrest. Between June 4 and October 14 last, the plant experienced 21 days of worker sit-ins and a 33-day lockout that cost the company $500 million in lost production according to reports.
On Friday, Mr. Nakanishi dispelled rumours that the company would shut down the plant and shift production to Gujarat.
“The Gujarat plant shall open on schedule by 2015-2016,” Mr. Nakanishi said adding that the new plant would be expansion of, rather than a replacement for, existing production capacity.
He described Wednesday’s violence as unprecedented. “There have been disputes in the past, in India and in other plants across the world, but never like this. Thirty three managers are still in hospital.”
While the company has accused workers of an “orchestrated act of mob violence,” Gurgaon Police Commissioner K.K. Sindhu said investigation so far had not suggested that the attack was pre-meditated.
Keywords: Haryana, Maruti Suzuki, Manesar plant, Labour unrest, Riot
I can in no way sympathize with the workers whatever their grievances about remuneration. Nothing justifies violence especially the heinous act of burning a human alive. Even if the man was put on fire in a fit of rage, other workers could have rescued the man, but no one did that. This reflects a lack of respect for human life and the government should refuse to negotiate with essentially what are terrorists in the guise of union representatives. I cannot believe money is so important to workers that they are willing to kill for it.
Nothing can justify the killing of manager of Maruti (being burnt alive). Any one who participated in the this heinous crime MUST be punished and any union that instigated the violence should be de-recoginized immediately. The guilty must be brought to book and security restored. I hope our dear politicians work towards ensuring safety of workers and management. Else Haryana will go the Bihar and UP way, where most of industries fled because of law and order issue.
This is not the case only with Maruti but most of the automobile
industry is going to face it if in human labour treatment on a prolonged
basis by making employing them as contract employees and terminating
them just weeks before they are eligible to become permananent and then
recruiting them again as contract employees. These age old practices
have no place in civilized world and finally the frustration boils up to
this effect.
it will be wise on the part of the management at least now to discuss with the workers representatives and settle the issues amicably. de- recognising the union is not a solution and in fact this may escalate.
central government should intervene to save public property, since is is a privatised psu. management should not be allowed to act on its whims and fancies.
The Haryana Govt must put down militant trade unionism otherwise development will stagnate as companies shut down and move elsewhere as happened in W. Bengal in the late sixties and seventies. The guilty, including the politicians behind the union, must be punished.
The Maruti report says the company has lost $500 million in worker sit-ins and a
lock out. Why is the loss calculated in dollars for a company based in India? Don't
you have a stylesheet?
The issue of workers turning violent spontaneously is highly probable
in light of the protracted struggle by them to expose the martinet
type behavior of the management and the abject surrender of the state
labour department which has never questioned signing of draconian
agreements,the disparity in pay vis a vis other auto manufacturers,
prolonged training periods to save on payments in spite the astounding
profit margins earned by the company in a recession hit industry world
over.The loot by the maruti company in connivance of the Haryana
goverments staff merits scrutiny .
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