Loss due to Maruti's Manesar plant strike pegged at Rs 700 crore

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The 14-day-long strike at Maruti's Manesar plant, which is estimated to have cost the company over Rs 700 crore, was called off on Friday following a tripartite agreement between the management, workers and Haryana government.

The agreement provides for reinstatement of 64 dismissed permanent workers by MSI, which will also take back 1,200 casual workers. However, 30 permanent workers will remain suspended.

"They (workers) have called off their strike after signing the settlement agreement today early in the morning," Haryana Labour Commissioner Satwanti Ahlawat told PTI.

The Haryana government signed separate tripartite agreements with the management of Maruti Suzuki India (MSI), Suzuki Powertrain India Ltd (SPIL) and Suzuki Motorcycle India Pvt Ltd (SMIPL) and their respective workers' bodies to end the strike involving about 3,000 employees.

Stating that workers were quite happy with the agreement, she said the workers' representatives who signed the settlement had already informed their colleagues about the modalities of the settlement.

Ahlawat said the casual workers will be reinstated within the next 7-10 days. When contacted, a spokesperson of MSI said: "Yes, the issue has been resolved and normal operations will resume tomorrow."

The company said in a statement that it 'individually considered the cases of all employees against whom disciplinary action had been taken'.

"It evaluated the severity of indiscipline in each case. Wherever the charges were not serious, the management has decided to take back the employees. The agreement provides that 64 employees will be taken back," it said.

Maruti Suzuki India further said: "However, in case of another 30 employees, the charges were found to be of serious nature. The agreement provides that these employees are suspended."

The statement further said: "Enquiry and disciplinary proceedings will be initiated against them as per rules. The enquiry will be completed within a period of 10 days."

Leaders of the unrecognised Maruti Suzuki Employees Union (MSEU), Sonu Gujjar and Shiv Kumar, could not be reached for comment despite repeated attempts.

During the stir, MSI is estimated to have incurred a production loss of over Rs 50 crore every day, adding up to over Rs 700 crore.

Representatives of the workers' unions of SPIL and SMIPL confirmed that they have signed agreements to end the strike.

"We have signed an agreement with the Haryana government and our management. We are calling off the strike, although our wage settlement discussions are on," Suzuki Powertrain India Employees Union (SPIEU) secretary Rajesh Kumar said.

He said as part of the deal, three office-bearers of the SPIEU have been kept under suspension, pending an internal inquiry, out of the 18 that were dismissed during the stir.

Similarly, Suzuki Motorcycle India Employees Union President Anil Kumar said workers of the two-wheeler maker have agreed to end the strike.

"We have called off the strike and will resume duties from tomorrow," he said, adding that as part of the agreement, 15 workers dismissed during the stir would be taken back by the company.

MSI's Manesar plant workers have been on strike since October 7 demanding the reinstatement of about 1,200 casual workers and 44 permanent workers who were suspended following an agreement signed on October 1 to end a 33-day-long standoff, along with 50 workers who have been dismissed or suspended during the current stir.

SPIL and SMIPL workers had also gone on strike in support of their colleagues at Maruti Suzuki.