settlement of dispute at maruti suzuki’s manesar plant
TRANSCRIPT
04/08/2023Industrial Relation
Presented to:-
Mr. Saurav Banerjee
Presented by:- Seema
Saloni
Namita
SETTLEMENT OF DISPUTE AT MARUTI SUZUKI’S MANESAR PLANT
1
04/08/2023Industrial Relation
MARUTI’S WORKERS DISPUTE
2
04/08/2023Industrial Relation
Maruti’s workers dispute Maruti workers at Manesar had been demanding a union for
themselves but the company management asked them to join the union affiliated to the Gurgaon plant.
One day’s wage cut of Rs.1500, two days Rs.2200, three days cut of Rs.7-8000 is implemented, so that almost the total month’s wage is cut.
One second late into punching-card entry is a day’s wage cut, but they have to give full production for that day too.
Forced to fill an undertaking form, which means that in case of any problem, workers cannot raise any objections against management.
3
04/08/2023Industrial Relation
Did the Maruti’s workers dispute solved? Yes, the Maruti Suzuki worker’s dispute
solved. The Management has taken many steps for solving the dispute of Maruti’s workers( Manesar Plant):-
A new wage settlement agreement, offering salary increment of nearly 70%.
The average increment will be about Rs. 15,800, spread over three years.
The gross salary of an entry level worker goes up to Rs. 37,800 per month.
4
04/08/20235 Industrial Relation
Cont….Others benefits include a Rs. 20,000
interest free personal loan.The health benefit scheme for the parents
of the workers. However the annual earnings of the parents should be less than Rs. 60,000 to be entitled under this benefit.
Medical scheme for the parents of workers.
Training period for technicians reduced form three to two year.
04/08/2023Industrial Relation
Cont…….The average increment in salary of workers will be
about Rs. 15,800.This compromises a Rs. 14,800 increment in gross
salary apart from an additional Rs. 1000 in an ad hoc payment of Rs. 2000 that the company gives to workers every month.
70% of the gross salary increment will be given in the 1st year and 12.5% will be given in 2nd and 3rd years.
The gross salary of an entry level worker at Maruti is Rs. 23000 at present and the cash in hand comes out at around Rs. 18000.
6
04/08/2023Industrial Relation
Cont…….According to new wage structure the
average entry level salary will increase 37,800 per month.
a monthly conveyance allowance of more than Rs. 10,000 a laundry allowance of Rs. 3,000 and a gift with every new car launch.
THE WORKERS HAVE ACCEPTED THAT, “ WE ARE HAPPY WITH THE PROVISIONS AND MORE SO SINCE IT HAPPENED IN A PEACEFUL MANNER”.
7
04/08/2023Industrial Relation8
RIOTS SHUT iPHONE MAKER’S UNIT IN CHINA
04/08/20239 Industrial Relation
Critical analysis of Apple/FoxconnFoxconn Technology Group,the assembler
of Apple iphones, had to stop production for the second time in as many weeks after factory time workers at one of its plants protested against increased pressure.
The theme of the Foxconn dispute is the outsourcing.
There is a personal dispute between workers in a dormitory that erupted into a mass brawl.
04/08/202310 Industrial Relation
IR Policy at Foxconn Technology GroupPoor conditions of workersMistreatment of workersThere is no harmony relation between
employee and management.Foxconn employees more than 1 million
workers in China and has suffered in the past three years from suicides, riots and strikes.
04/08/202311 Industrial Relation
Responsibility of both parties Apple and Foxconn for dispute settlement
Foxconn needs to improve working conditions and its handling of workers relations.
It may have put more focus on efficiency and discipline, which is not wrong.
It may have overlook employees feeling as human beings.
It may raise wages.Apple should raised pay and allowed
inspections by outside observers.
04/08/202312 Industrial Relation
ReferencesWWW.GOOGLE.COM (247wallst.com/2010/03/01/outsourcing-
china’s-labor-problem/) (pragmaticoutsourcing.com/.../disadvantages-cons-problems-of-outso..)
(www.smartchinasourcing.com › Import From China › Outsourcing)
[email protected] (riots shut iphone maker’s unit in china
Case study (Maruti offers 70% hike to workers over three years)