The strike at Caparo India's automotive component factory in Sriperumbudur (near Chennai) has ended with the management agreeing to give employees ‘permanent' worker status.

Around 500 workers from two major units (stamping and foundry) at the factory of Caparo Engineering India were on strike from Thursday demanding that they be moved from “trainee” status and made “permanent” employees.

“The management has given confirmation order to 110 workers belonging to C3 grade. The rest of the workers will be made permanent over a period of time,” said Mr E. Muthukumar, union leader at Caparo and Secretary, Centre of Indian Trade Unions (CITU), Kanchipuram district. There has also been a salary increase — from Rs 7,200 gross to Rs 10,200, said Mr Muthukumar.

With the management acceding to their demands, workers resumed work on Sunday morning.

Discussions with employees began on Saturday with company officials from New Delhi coming down to the Sriperumbudur plant. Talks were held in the presence of the Assistant Labour Commissioner and the Revenue Divisional Officer of Kanchipuram.

“The management has promised us that the other issue of recognition of our union will be taken up later,” said Mr Muthukumar.

Caparo India, the Indian business arm of the UK-based Caparo group set up by Lord Swraj Paul.

Caparo Engineering India Pvt Ltd, division of Caparo India, set up an auto parts factory at Sriperumbudur in 2007. The plant supplies stampings, aluminium die-castings and forgings to car makers such as Nissan and Ford.

swethak@thehindu.co.in

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