GM India likely to cut down number of employees as strike continues

Monday 28 March 2011, 00:00 AM by Vikas Yogi

The Indian unit of US based leading car maker General Motors has said if the current downturn in the auto industry continues, the company will not hesitate in decreasing the number of its employees in the country. The statement came at a time when the carmaker is already struggling with a long worker strike at its Halol plant.

It has been more than a week since the workers of the company’s Halol plant are on strike. It has been reported that the company is facing a loss of production of more than 100 units a day at this plant due to the halted production. It is the second time in last five months when the workers of the Halol plant of the company resorted to strike. The Halol plant of the company has a capacity to manufacture 85,000 units a year, and the daily production of the company has dipped down to 70 units from 190 units earlier.

In a recent statement , GM India Vice President P Balendran has said, "In the wake of the current downturn in the auto industry, we might even continue with just one shift (and discontinue the second shift altogether).”

On the other hand, INTUC general secretary Nihil Mehta, said, "Workers cannot earn their wages at the cost of their lives - they are popping pain-killers owing to workload.”