Workers' strike stops work at GM's Halol unit

Production came to a halt at General Motors India’s factory at Halol, Gujarat, with 900 workers going on strike for more pay.

The facility, 30 km from Vadodara, churns out 150 vehicles in two shifts every day. P Balendran, director and vice-president, corporate affairs, informed, “The workers went on strike before the start of the morning shift today. The second shift has not commenced either, as discussions are still on with employees at Halol.”

Sources said a new workers’ union haf been formed at the plant, which is demanding a revision in wages.

The Halol plant has an installed capacity to produce 85,000 vehicles in three shifts. However, the company operates only two shifts, with the 900 workers divided equally.

GM manufactures the premium hatchback Aveo UVA;, the entry-level sedan, Aveo; the mid-size sedan, Optra; the Cruze sedan and the multi-utility Tavera at Halol. The smaller cars, Chevrolet Spark and Chevrolet Beat, are made at the other factory, at Talegaon, near Pune. This unit has an installed capacity to produce 140,000 vehicles a year. No labour unrest has been reported there.

Balendran added, “We have sold 83,909 cars till September this year, nearly 60,000 of which are Spark and Beat.” Earlier this year, the company had ramped up production by adding the second shifts at Halol and Talegaon, to meet the increased demand for its products.

GM India saw its sales climbing 12.6 per cent to 8,617 units in September this year, compared to 7,654 units sold during the corresponding period last year. The company sold 69,579 cars last year.

This is the second such labour unrest in the Indian auto industry in recent months. Inn June, workers at Hyundai’s Chennai facility went on a strike for two days, which resulted in Production loss of 4,000 cars.