On August 23, 2012, in a meeting with the Chairman of Suzuki Motor Corporation, Osamu Suzuki, Senior leaders of Maruti Udyog Kamgar Union (MUKU) requested to refute the company's decision of terminating services of 500 workers from its Manesar facility.
Recently, R.C. Bhargava, Chairman of MSIL, declared the domestic car maker's decision of sacking 500 permanent employees after a deadly riot on July 18, which resulted in the death of an HR manager, Awanish Kumar Dev and leaving over 96 staff members injured.
In his first-ever week long stay in India, Osamu Suzuki visited the new Mehsana facility on the very first day. On the second day, he made an impromptu visit at Suzuki's two-wheeler plant at Kherka Daula and ignored the Manesar facility, which was situated just a speck away. The Big Boss of Suzuki seems to have fallen in love with the country with 50 Indian trips in the last 30 years. However, this time, the Chairman was chaperoned with a strong security cover.
According to ET, Kuldeep Janghu, General Secretary of MUKU quoted, “We did not submit any memorandum, but in a personal interaction asked Osamu Suzuki to revise the summary dismissal of 500 workers that has not gone down well with the workers' fraternity. We have asked for alternative action, such as a freeze on increments, long unpaid break or forced vacations, but the current decision to force out 500 employees is not acceptable”.
The union delegates asked Osamu to take a complete stock of the Manesar situation and consider the changed scenarios in the labour's outlook and requirements. Besides terminating services of over 500 workers, the union members are also revolting against MSIL's decision of allowing only 300 out the 1800 workers to enter the factory floor. MUKU officials also asked Osamu to consider the wages paid to them against the current inflation and increase in their cost of living. Reportedly, Maruti Suzuki is working on a new salary model, which is subjected to be put into effect from April, 2012, taking past into consideration.
In retrospect, Osamu has asked the Maruti Suzuki officials not to dwell on the past and not to feel disturbed, rather emphasise on future. Osamu told the officials of Maruti Suzuki, "The problems are increasing for Suzuki, but as a true market leader we shall overcome these and address all challenges.”
The Manesar facility resumed its production on August 21, following lockout lasting for a month and costing the company crores of revenue loss amounting to $ 15 million a day. On the day of reopening, only 84 workers marked their attendance among the expected 300, citing rebellion under the workers. At present, the facility is operating at 100 units a day against the planned 150 units with the current production being less than 10 per cent of the plant's average daily output.
Reportedly, most of the workers are avoiding to join back their duties because of the ongoing investigation by the Special Investigation Team of Haryana Police, which is currently interrogating the workers.
During the first four months of this fiscal, in YOY comparison, MSIL's market share saw a drop of 1.8 percent at 38.6 per cent from being at 40.4 per cent and the actual impact of Manesar plant's in-operation would be felt soon. MSIL declined to answer any statements on Osamu's Indian visit and when will the affected facility will commence its full operation.
