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Hyundai Motor India on Tuesday said a section of its workers belonging to an unrecognised union at its Chennai plant have threatened to go on strike from December 5, which could hurt its production.
"Hyundai Motor India has received a faxed communication dated November 19 from the unrecognised union stating that they will resort to direct action from December 5," the company said in a statement.
If such an action is resorted to, then it will disrupt production resulting in loss of revenues and delayed distribution schedules and will act as a deterrent to industrial peace and harmony in Tamil Nadu, it added.
According to people in the know of the development, workers belonging to the Hyundai Motor India Employees Union, which has support of about 300 workers, have threatened to go on strike, ahead of the upcoming workers committee elections.
The strike threat comes within four months of the company and workers had signed a memorandum of understanding in July this year ending a six-day strike.
A Soundararajan, Tamil Nadu state general secretary of Centre of Indian Trade Unions, who spearheaded the strike in July and who is again leading the workers this time was unavailable for comments.
The company, however, said the strike threat by the unrecognised union is a breach of the agreement signed in July.