rediff.com
News APP

NewsApp (Free)

Read news as it happens
Download NewsApp

Available on  gplay

Rediff.com  » Business » Day 13: Maruti crippled by strike at Manesar plant
This article was first published 13 years ago

Day 13: Maruti crippled by strike at Manesar plant

Last updated on: June 16, 2011 10:43 IST

Image: Private security guards outside the Manesar plant.
Photographs: Adnan Abidi/Reuters.

The crippling strike at the country's largest car-maker Maruti Suzuki India's Manesar plant entered its 13th day on Thursday, with production completely shut down.

In the morning, shares of Maruti Suzuki India (MSI) were trading 1.28 per cent down at Rs 1,195 on the Bombay Stock Exchange.

Day 13: Maruti crippled by strike at Manesar plant

Image: A man rides his bicycle infront of the Manesar plant.
Photographs: Adnan Abidi/Reuters.
"The situation is the same as yesterday... There is no change," a company spokesperson told PTI. The company has lost production of 11,400 units till Wednesday, valued at about Rs 570 crore (Rs 5.7 billion).

On Wednesday evening, Haryana Chief Minister Bhupinder Singh Hooda met MSI top executives, including Managing Director and CEO Shinzo Nakanishi, and was understood to have assured the firm of the state government's support in not permitting the formation of a second union.

Day 13: Maruti crippled by strike at Manesar plant

Image: A private security guard outside the Manesar plant.
Photographs: Adnan Abidi/Reuters.
Meanwhile, workers in about 65 factories in the Gurgaon- Manesar industrial belt have decided to "work empty stomach" on June 17 and hold a two-hour tool-down strike on June 20 from 11 a.m. to 1 p.m. to support the striking employees of Maruti.

Day 13: Maruti crippled by strike at Manesar plant

Image: An employee draws a line to demarcate an area out of bounds for the media.
Photographs: Adnan Abidi/Reuters.
Due to the strike, waiting periods for diesel variants of three models -- Swift, DZiRE and SX4 -- have increased further by up to one month and the company is now fearing an impact on its sales during this month due to the production loss.

MSI Managing Executive Officer (Marketing and Sales) Mayank Pareek said: "We usually do not produce more cars than the market demand. So, whatever loss in production we are witnessing, that will be the impact on sales in this month."

Day 13: Maruti crippled by strike at Manesar plant

Image: Private security guards outside the Manesar plant.
Photographs: Adnan Abidi/Reuters.
On June 4, workers went on a strike demanding the recognition of a new union, Maruti Suzuki Employees Union (MSEU), formed by those working at the Manesar plant, among other things.

While a company spokesperson said only about 600 people are on strike, MSEU General Secretary Shiv Kumar claimed at least 2,000 workers are on a sit-in stir at the plant. Cracking the whip, the company fired 11 workers last week for allegedly inciting others to go on strike.

Day 13: Maruti crippled by strike at Manesar plant

Image: Private security guards outside the Manesar plant.
Photographs: Adnan Abidi/Reuters.
Currently, the company has one recognised union -- Maruti Udyog Kamgar Union -- which is dominated by workers at the Gurgaon plant. The Manesar plant rolls out about 1,200 units every day in two shifts.

The factory produces hatchbacks Swift and A-Star and sedans DZiRE and SX4.

© Copyright 2024 PTI. All rights reserved. Republication or redistribution of PTI content, including by framing or similar means, is expressly prohibited without the prior written consent.