Strike Maruti's Manisar Plant

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  • Topic: Maruti Suzuki, Trade union, Suzuki
  • Pages : 5 (1668 words )
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  • Published : May 22, 2013
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STRIKE AT MARUTI’S PLANT IN MANISAR
Background
Suzuki Motor Corp was one of the first foreign joint venture companies in Association with the Indian Government to set factory in India under the name of Maruti Udyog Limited. Their first car was produced in the Manesar plant in Gargaon in 1983. The company was renamed as Maruti Suzuki India Limited (MSIL) in September 2007which reflected the total disengagement of Indian Government by the selling of its share to Indian investment companies. Suzuki Motor Corp has a holding of 54.2% of the capital. In 2010 Maruti’s production was 7,800,00 vehicles while the total production of vehicles in India were 2,600,000. They had a market share of 44.90% in the Indian car market. Maruti Suzuki had different employment contracts:-

* Permanent staff which comprised most part of skilled employees * Apprentices who are taken on for a period of three years on wages less than that of permanent workers who at the end of three years may become permanent. * Trainees whose wages are less than that of the Apprentices and who have contract during their studies without any guarantee of job. * Temporary workers who are employed in factory via another company who do the least skilled jobs. Conflict

The workers in Maruti Suzuki India Limited began strike in June 2011in the Manesar plant with an objective of recognition of Trade Union- Maruti Suzuki Employees Union (MSEU) with other demands including increase in wages, permanent jobs for the casual workers, reduction of the pace of work and for the end of the Managerial arrogance. The incident took place in three stages in June, September and October. 70% of the employees in the factory didn’t have a permanent position in the factory. In this strike a significant number of casually employed workers actively participated. The three stages of the strike are:-

1. Incident-1 (4th June to 17th June 2011)
2. Incident-2 (18th June to 28th August)
3. Incident-3 (29th August to 30th September)
4. Incident- 4 (18th July 2012)
On 3rd June 2011 eleven representatives of MSEU from the Manesar plant which included Shiv Kumar, its secretary meets officials from the Ministry of labour of the state of Haryana in Chandigarh to carry out the formalities of registering the Union. The same day the Minister of labour informs management of Maruti about this and management takes immediate action by making workers sign blank pieces of paper in favour of company Union- Maruti Suzuki Kamgar Union (MSKU) which according to the workers were a management backed up union and tried to avoid the formation of new Union. The Incident-1 (4th June to 17th June 2011)

On 4th June the representatives of MSEU tried to get back some of the already signed blank papers and the management sacked eleven of the MSEU representatives and immediately after this the workers start strike in the afternoon with an occupation in the factory. On 5th June management seals off the gates of the factory. Many security guards were appointed and put in front of the workers to prevent any contact between the inside and outside workers. Then in the consecutive days police were also deployed inside and outside the Manesar area and they took away the tents that the protestors have setup. The major Unions AITUC, CITU, HMS, INTUC and UTUC formed an action committee to show their support for the strike. This move by all political parties was to have their own unions established there. The action committee mobilized 50 to 60 workers in Gargaon while 1000 to 2000 workers gather in front of the factory gates at the Manesar on MSEU’s call. 250 workers decide to stop the occupation. There was a lack of storage space and as a consequence of the strike, 200 to 250 suppliers had to reduce or stop their production. On 12th June the management proposed taking back five of the eleven sacked workers but MSEU refused saying that “all or none”. A legal solidarity strike for two hours on 14th July was...
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