Case Study Of Labor Unrest At Maruti Suzuki India

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CASE STUDY ON LABOR UNREST AT MARUTI SUZUKI INDIA LIMITED (MANESAR PLANT) ABSTRACT This case is about the labor unrest that took place at the Manesar plant of Maruti Suzuki India Limited (MSIL), the Indian subsidiary of the Japanese automobile maker, Suzuki Motor Corporation (SMC). There were a total of 3 strikes in 2011 and a lockout in 2012 at the Manesar plant. The lockout was witnessed after the ruthless murder of the Human Resource General Manager. Due to all this, MSIL incurred a net loss of Rs. 25 billion approximately. The major reasons of dissatisfaction among the workers were the following: • For doing the same amount of work, contract workers were being paid just one-third the salaries as compared to permanent workers; and, • The rules at the workplace were quite grueling, to the extent that for being late to work by even a few minutes, half the salaries of workers were deducted. Keywords: MSIL-Maruti Suzuki India Ltd, MSWU- Maruti Suzuki Worker Union CASE DETAILS Introduction: India, as we all know is a people rich nation. It is a labor intensive country where the biggest advantage in terms of doing business is easy availability of cheap labor. But, this is exactly what went against Maruti Suzuki. Worker outburst is not something new to India, but, the scale and intensity of the mayhem at the Manesar plant of MSIL shocked the whole country. Maruti Suzuki India Ltd has happily served its customers for the last 32 years. It revolutionized the Indian

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