Maruti Suzuki strike disrupts production

The country's largest car-maker Maruti Suzuki India today said its Manesar plant has stopped functioning, resulting in a production loss of about 1,200 units so far as a workers' strike entered the third day.

"The situation remains the same as of now," a company spokesperson told PTI.

He, however, declined to share any further details.

On Saturday, about 2,000 workers employed at the plant struck work from the second shift of the day.

Striking workers are demanding the recognition of a new union -- Maruti Suzuki Employees Union (MSEU) -- formed by those working at the Manesar plant, besides retaining contract labourers for the two upcoming new units inside the complex. Taking no disciplinary action against the 11 office bearers of the new union is also another demand.

According to senior officials of Maruti Suzuki India (MSI), who wished not to be named, the company has so far incurred a production loss of about 1,200 units till the first shift of operations today.

The Manesar plant rolls out about 1,200 units every day in two shifts. While the first shift operates between 7.30 am and 4 pm, the second shift starts at 4 pm and ends at 12.30 am.

The workers said the company currently has one union, Maruti Suzuki Kamgar Union, which is mainly dominated by those working at the Gurgaon facility.

"The Manesar plant is completely different and issues are also separate. So we are asking for recognition of our new union. But the management has forcibly taken written undertakings from workers that they are happy with the old union," a source had claimed.

The company's Gurgaon plant, however, is functioning as usual.

The last time the company witnessed a major strike was when workers stopped production for three months from November, 2000, to January, 2001.

MSI is setting up two new units with an annual installed capacity of 2.5 lakh units each inside its Manesar facility at a total investment of Rs 3,625 crore. The existing plant in Manesar can produce 3.5 lakh units annually, while the three units in Gurgaon have a combined annual capacity of 8.5 lakh units.

The company's scrips were trading at Rs 1,215.50 apiece, down 1.46% from the previous close.