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Maruti Suzuki India in trouble with labor unrest at Manesar

Troubles for Maruti Suzuki don’t seem to be coming to rest as its Manesar manufacturing facility in Harayana witnessed violent clashes between workers and the company’s executives resulting in death of one person and more than 40 injured on July 19, 2012.

Senior officials were attacked by protesting workers and the plant was set on fire. The premises have been taken over by the police and production was halted for the day. The protest revolved around a disciplinary issue with an employee and blew out of control. According to company officials, violence was anticipated by the management when a sit-in protest was initiated by the morning shift workers and thus police was called to control the situation.

The company has already lost Rs 2,800 crore in production losses in the year 2011 due to numerous production delays and labor unrest incidents. With a production capacity of 5,50,000 vehicles, the Manesar plant accounts for about one-third of the company’s total production.

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