 "Zydus Cadila Moraiya plant faces labour unrest")
The protesting workers stopped work and walked out of the premises in the morning during the first shift. A worker at the plant informed on grounds of anonymity that, "Earlier there used to be two operators working on one machine. As per a new rule, now one operator has been asked to work on a single machine. And as a result of this decision, around 350 workers were asked to leave today as they were not necessary. We are demanding a re-instatement of these workers and that the earlier system be brought back."
When contacted, the company did not wish to comment. However, a notice posted outside the factory premises said, "Today morning at around 10:30 am some workers stopped work and walked outside the premises and stood outside the gate. Despite the company's intervention, they did not report back to work. This step taken by the workers can be termed as illegal strike for which the rule of no work no pay will be applicable." The notice signed by Atul Chaudhury, senior general manager, human resources, also mentioned that as this act can be termed as misconduct, these workers are liable for disciplinary action.
Senior police officials who had reached the spot said that a few hundred workers had gathered outside the factory gates and were shouting slogans. As a precautionary measure, a small troop of police personnel were deployed who later dispersed the crowd. There was no incidence of violence.
There are around 2,000 workers at the Moraiya plant which is an US Food and Drug Administration (USFDA) approved facility. Production from the plant mainly goes to the US markets. US markets account for nearly 25% of Cadila Healthcare's net sales. Zydus Cadila had posted revenues worth Rs 3,364 crore for 2012-13.
The Moraiya facility in the outskirts of Ahmedabad had received a warning letter from the USFDA in June 2011, which was eventually revoked in July 2012.
A worker at the plant mentioned that reducing the number of operator per machine can have a serious impact on the quality of work and since most of the production is for exports, any quality issue can bring the plant under scanner of regulatory authorities.