maruti industrial relations

7/27/2019 Maruti Industrial Relations

1/22

Avantika

Anish

Harshit

Priya

Swati

Takshi


2/22

The case outlines the dispute betweenManagement and Labour union which

lead to the demise of Awanish Dev theHR Manager of Maruti Suzuki ManesarPlant.


3/22

Maruti is Indias largest peoples car organization.

Enjoyed a market share of 80% in the Automobile Industry.

Manufacturing facilities are located in Manesar and

Gurgaon

It offers a diverse range of 14 brands & 150 Variants.

Manufactured Maruti 800 to Maruti Ritz one of the iconic

brands of the organization

Manesar alone contributes 220 million dollars per month.


4/22

Trade Unions:

- MSEU

- MUKU

Reason for demand of new Union.

Strikes History at the Manesar Plant.


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Development of the Strike:

- Date & Place

- Type of Strike- Employees Involved

- Effects of the strike

- Need of Separate Union


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9/22

13thday of the strike concluded underthe Industrial dispute Act.

No pay for work of strike days. Application filed by workers would be

processed duly by Labour department of

Haryana. Both parties agreed to cooperate with

one another.


10/22


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12/22

Workmen set a fire, this killed the HRManager and left 100 injured.

2 Japanese were also injured in theincident.

The incident was very brutal as AshwiniKumar the (HR Manager) Hands & legs

were broken as a result he was unable torescue himself and he succumbed toinjuries and died.

Factory & cars were also burnt.


13/22

A five fold increase in basic salary

Monthly conveyance of 10,000

A house for every workmen and loansfor those who wanted to build their ownhouses.

Paid vacation of 4 weeks should beincreased to 7 weeks.

Each worker should receive 40 days ofsick & Casual leave for a total of 75 days


14/22

A supervisor abused a low caste worker

Union demand reinstatement of a

worker who was suspended ondisciplinary grounds.

Working conditions at the plant were

harsh, contractors were paid highamounts but workers did not receivegood benefits


15/22

FIR was filed against the workmen

CCTV footage was recovered and used

as evidence to identify people involvedin the incident.

Manesar plant work was suspended and

a lockout was declared this led to loss of75 crore INR per day


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The Managing director of the organization

declared a lockout on safety grounds.

He also issued suspension orders in namesof workers involved in the incident.

Union will also be dismissed since it

instigated workers that led to violence.

Personal apology to each victim for themiseries caused.

Manufacturing in Manesar would continue


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18/22

Workforce should be inducted wellabout dos and dont of the workplace.

Transparent culture to be formulated tobecome an employees friend deal withsensitive issues effectively.

Strengthen HR Processes and Empoweremployees to take independentdecisions.


19/22

Union to be built for welfare of workmen to

promote ethical practices and unity among

workmen.

Recruitment to filter out undesirable

candidates.

Provide a secure and dignified environment

to employees and workforce. Victims of the fire should receive

compensation from the management side.


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Humiliation of workers to be prevented,sense of oneness to be developed.

Right balance to be maintainedbetween contractual and permanentemployees absorption policy should bethere.

A lesson to be learnt from the sacrificeof Awanish Dev


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Contractual Labour is only a part of thelarger issue.

More stringent approaches towardsIndustry relations to be adopted.

Industry relations requires proactivemanagement

The ability to handle a conflict whilesafeguarding business requirements.


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maruti industrial relations

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