Trend
Download as PPTX, PDF
0 likes529 views
Maruti Suzuki is India's largest car manufacturer, established in 1981 as a joint venture between Suzuki Motor Corporation and the Indian government. It operates manufacturing plants in Gurgaon and Manesar, India, with the Manesar plant having an annual production capacity of 550,000 vehicles. In 2012, a major labor dispute and violence at the Manesar plant between workers and management led to production losses of Rs. 210 crore per day for Maruti Suzuki. This dispute highlighted the need to revise Indian labor laws governing contract workers and the rights of labor unions.
Trend
- 2. Maruti Suzuki Parent company :Suzuki Motor Corporation established in February 1981 Type: public Industry : Automotive Predecessor(s) : Maruti Udyog Limited Revenue : 37,522 crore (US$6.79 billion) Income : 2,288 crore (US$414.13 million) Operating Plants: Manufacturing units Gurgoan , Manesar Market share : 49% (passenger vehicles) Tag Line : We believe our core values drive us in every Endeavour Manesar Plant Inaugurated : February 2007 total production capacity: 550,000 vehicles annually
- 3. Mr. Shinzo Nakanishi Mr.R.C.Bhargava Mr. Keiichi Asai CEO Chairman
- 4. Mr. Manvinder Singh Ms. Pallavi Shroff Mr. Osamu Suzuki Banga
- 5. Statistics : unorganized sector:92% workers manesar workers: 4th such incident in a year 3000:permanent 2800:contract wages : permanent : 23000 month contract:9500 per month Cause Of The Issue labour unrest wage wars Unions History Of issues in Manesar June 2011: registration of new trade union October 2011: strike
- 6. Production loss : about Rs 210 crore Per Day loss: 70 crores Work Environment: labourers horrified , death of its human resources general manager injuries to 96 employees, damage to the plant. LARGE AND DIRECT IMPACT Companies with dedicated supplies to maruti Suzuki suffer heavy losses Impact the balance sheets of a large no of component companies Products: high-selling cars such as Swift and Dzire rolling out of Manesar have gone off production lockout at Manesar has led to around 50% cut in orders
- 8. Two possibilities: Compromise: either management and workers arrive at a temporary resolution and until then the company shifts production to Gurgaon Extreme scenario : Maruti exits completely and shifts to Gujarat.
- 9. Laws Need To Be Revised Laborers point of view: Revision of laws contract labor laws 1970 minimum wages act 1948 Factories act 1948 Companys demand Hire and Fire flexibility The future belongs to the working class