GROUP -12

MARUTI MANESWAR

CAUSES
Differences in salary pay
Working Conditions

Unions generally limit themselves to acting as a voice of permanent employees

Demand for a new union

IMPACT ON COMPANY
Operations stopped for a month. Loss estimated to be over Rs. 1,500 crore Fear of insecurity to the employees and their families Problem of lack of labor resource Maruti changed its recruitment policy

Goodwill

IMPACT ON ECONOMY
Large labor- unemployed

GDP affected

Loss of country resources

Disturbance- affecting the common man

PROBLEMS
Lack of communication between HR people and labor Lack of coordination between labour union and HR department

PERSONNEL MANAGERS/DAMAGERS
Actually the problems lies with personnel Managers & HRD managers These people take hefty salaries These personnel managers are like Indian politicians, they want money but nobody else should get it!

MANESAR OUTCOME
Plant was suspended Abolish contract basis Loss Rs 75 Core per day

LESSONS LEARNT
Policies Discrimination between workers Late intervention by the government

A minimum time rate of wages

A minimum piece rate

Non-Discrimination of people at Workplace. Local Hiring Leave without wages Working hours, holidays and overtime

Lack of proper negotiations.

Minimum wages. Contract Labour Companies hire temporary and contract workers not only because they are cheaper, but because they can be laid off when they are not required

NECESSARY CHANGES DONE AFTER THE EVENT

Hiring contract workers through company HR and not through a contractor.
Reopened the plant with 300 workers

Fresh recruitment of permanent workers Terminate the services of 500 permanent workers. (Involved in Violence)

WHAT COULD HAVE BEEN DONE TO AVOID THE EVENT

Employee Labour Relationship should had been maintained in decorum. Flexibility is the key, not the cheapness.

Treat workers in the factory like humans. The workers should refrain from taking law into their own hands.