The sit-in strike called by employees of Hyundai Motor India Ltd (HMIL) at its Sriperumbudur factory, near Chennai, was called off today after the Tamil Nadu government’s intervention.
The strike was called by a section of workers on Thursday night, following the management decision to enter into a wage settlement agreement with the Hyundai Workers Committee, whose representative status is disputed by a rival union.
The state labour minister and Hyundai officials have confirmed the strike is over. A Hyundai spokesperson added: “The settlement was mutually acceptable to both the parties and we thank the state government for its efforts.”
The company has agreed to reinstate 20 of 81 employees dismissed earlier, on a case by case basis after a review by the state labour commissioner. It has also agreed to bring back nine employees who were transferred, but they will not work in the factory, but be posted in showrooms.
It appears the management has made it clear that it will continue to recognise the Hyundai Workers Committee as the representative union, not its rival which called the strike.
A Sounderrajan, honorary president, Hyundai Motor Employees Union (HMEU), which claims it has a majority of the employees, told Business Standard that today’s meeting was chaired by labour minister T M Anbarasan. He said it was also agreed that the management will enter into a wage settlement with all the employees individually.
Last Thursday, before the strike began, HMIL said the wage settlement agreement would take effect from April 1, 2009 to March 31, 2012. As part of the agreement the company had given a 21-24 per cent increase in the salary, over a period of three years. “We are happy with the wage increase, our only issue is, we do not want to sign under the Workers Committee banner,” said Sounderrajan.
The company also agreed, at today’s meeting, that it will forward the files pertaining to suspended employees to the labour commissioner. 0Who will inquire and decide which employees can be reinstated. The company had stated that “action was taken under disciplinary measures for involvement in violence inside the company”.