To resume work at plant from Aug 21

Maruti Suzuki will dismiss about 500 permanent workers of its Manesar car factory who were found by its own and police investigations to be involved in the July 18 violence.

More workers may also be dismissed as the investigation progresses.

Of the 3,300 workers at the Manesar facility, 1,528 are permanent and the rest are on contract. So far, 154 workers have been arrested.

The carmaker will restart production at the facility from August 21, exactly a month after it had declared a ‘lockout’. The clash had left a senior official dead and 96 injured.

Operations will start with 300 workers making 150 units a day of the Swift and Dzire models. The production will be ramped up as things stabilise.

R. C. Bhargava, Chairman, said, “These workers are being dismissed because the violence of July 18 had violated the agreement signed by them last October. Notices have already been issued to many and if more are identified, they will go out.”

The dismissed workers will be given compensation in the form of three months salary and half-month pay for as many years as they have worked.

Contract Workers

Maruti will also start the process of converting Manesar’s contract workers to permanent staff from September 2. By March next year, it aims to completely convert all contract labour in the shop-floor (those involved in the car assembly lines) to permanent positions.

“We will go through the recruitment process and convert those whom we see fit,” Bhargava said. Contract workers at the Gurgaon plant will also be given the same option.

Maruti Suzuki shares at the BSE were down 0.94 per cent to Rs 1,172.40 on Thursday.

(This article was published on August 16, 2012)
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