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Strike at Maruti Suzuki’s Manesar plant ends; 64 workers to be taken back

India CSR by India CSR
October 21, 2011
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NEW DELHI: The 14-day-long strike at Maruti Suzuki India’s Manesar plant has been called off this morning following a tripartite agreement between the management, workers and the Haryana Government.

India CSRAs part of the agreement, the management has agreed to take back 64 permanent workers but another 30 will remain suspended. It has also been agreed that around 1,200 casual workers would also be reinstated, sources privy to the talks said.

Shares in Maruti Suzuki rose over 3 percent in early trade on Friday, on reports of fortnight-long strike at its Manesar plant had ended.

The stock touch its day’s high of Rs 1117.55. At 09:30 am, shares of the company were trading 2.4% higher at Rs 1102.25.

Setting up of two committees for grievance rederssal and labour welfare was also agreed in order to provide a harmonious working environment at the plant.

The agreement came at the end of several rounds of talks, since Wednesday in the presence of senior officials of the Haryana government.

Before reaching the agreement, it is understood that MSI management individually considered the cases of all employees against whom disciplinary action had been taken and evaluated the severity of indiscipline in each case.

Wherever the charges were not serious, the sources said, MSI management decided to take back the employees. The agreement provides that 64 employees will be taken back, they said.

“However, in case of another 30 employees, the charges were found to be of serious nature. The agreement provides that these employees are suspended,” a source said.

As far as the casual workers are concerned, the MSI agreed to take them back to meet requirements of the ongoing expansion at the Manesar plant.

Workers at the plant have been on strike since October 7 demanding reinstatement of about 1,200 casual workers and 44 permenant workers who have been suspended following an agreement signed on October 1 to end a 33-day-long standoff, along with 50 workers who have been dismissed or suspended during the current stir.

As per the agreement, worjer will face no work, no pay for the duration of the strike.

A ‘Grievance Redressal Committee’ will be set up and it will have representation from the management and workers.

Also, a Labour Officer from the state government will be a permanent invitee to the committee and will review its proceedings, the sources said.

The agreement also provides for the setting up of a ‘Labour Welfare Committee’ to promote measures for good relations between the management and workers. The committee will comprise members from the management as well as workers.

It is understood that the company has also agreed to arrange for transport services for workers in line with shift timings.

The agreement was signed in the presence of senior State government officials, including Deputy Commissioner (Gurgaon) PC Meena, Sub Divisional Magistrate Satyendra Duhan, Labour Commissioner Smt Satwanti Ahlawat and Assistant Labour Commissioner Nitin Yadav.

Workers at Suzuki Powertrain India Ltd (SPIL) and Suzuki Motorcycle India Pvt Ltd (SMIPL) who had also gone on strike from October 7 in support of their colleagues at Maruti Suzuki India (MSI) have also agreed to call off their strike.

The company said it produced 1,997 vehicles at the Gurgaon and Manesar facilities on Thursday with the Manesar plant rolling out 200 cars with 600 workers on duty.

Earlier in June, workers at Manesar plant went on a 13-day strike demanding the recognition of a new labour union — the Maruti Suzuki Employees Union (MSEU). The stir had resulted in a production

loss of 12,600 cars, which were valued at about Rs 630 crore. From August 29, the company witnessed a 33-day standoff when the management prevented workers from entering the plant without signing a ‘good conduct bond’.

MSI board will be meeting on October 29 to consider among other things, a proposal for setting up of a new plant in Gujarat.

(PTI)

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India CSR is the largest media on CSR and sustainability offering diverse content across multisectoral issues on business responsibility. It covers Sustainable Development, Corporate Social Responsibility (CSR), Sustainability, and related issues in India. Founded in 2009, the organisation aspires to become a globally admired media that offers valuable information to its readers through responsible reporting.

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