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Old 7th August 2012, 14:56   #1
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Default Honda suspends two workers in Manesar facility

Honda Motorcycle and Scooter India (HMSI) suspended two workers from their Manesar facility yesterday for an issue regarding their leave status, as the industrial town was enveloped in tension once again.

The facility has an annual production capacity of 16 lakh units.

The two workers were suspended after an argument about their leave sanctions last week, which the HMSI Employees Union called a weak basis for suspension.

The state government representatives have quickly swung into action, reassuring the union and avoiding a potential workers’ strike. The union have agreed to give the officials and HMSI management a few days before taking any action on their own. Meanwhile, there has been no comment from the company’s management yet.

Police have also been deployed around the plant for any intervention.

The facility has had a patchy history of labour unrest. In 2005, 150 people were grievously injured when police and workers clashed during a protest. HMSI incurred losses of about Rs 100 crores in the workers strike that followed.

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Old 8th August 2012, 10:22   #2
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Default Re: Honda suspends two workers in Manesar facility

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Union members, who are demanding immediate reinstatement of those suspended, said that no resolution has yet been reached in the matter, and that the next round of talks has been scheduled for August 9
More negotiations to be held tomorrow. Once again, the workers and management don't seem to be on the same page, both giving different accounts of what caused the trouble that led to two workers getting suspended.

Source: Now, Manesar hots up over Honda crisis
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Old 8th August 2012, 12:10   #3
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Default Re: Honda suspends two workers in Manesar facility

Think there are lot of labor unrests in the Manesar Industrial Belt. With such sporadic incidents at the drop of hat, would generally not augur well for a prospective growth. Would this be a case where the labor union are being more harmful to the company? We have seen lot of examples earlier where the golden egg laying hen was killed just for some paltry gains.
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Old 8th August 2012, 12:23   #4
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Default Re: Honda suspends two workers in Manesar facility

What is the status of their new plant in Kolar? Manufacturers are already coming up with multiple plants closer to different regions. Now, it could also be to de-risk union vs management issues.
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Old 8th August 2012, 12:37   #5
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Red face Re: Honda suspends two workers in Manesar facility

Is the unrest in the industrial belt of Manesar a direct result of employment of too many temporary or contract staff? I am amazed that the Haryana govt is taking no steps to ensure that the industrial stability continues after the Maruti episode. Or is the case of govt and Honda mgmt being hand in glove for the situation.

Last time Honda had this issue and the production of 2 wheelers took a major hit, I hope the stalemate is resolved ASAP.
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Old 8th August 2012, 14:04   #6
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Default Re: Honda suspends two workers in Manesar facility

I have a feeling that Haryana Govt is sleeping. They are like an ostrich with its head in the sand.

The problem of contract labour will be reduced / resolved only when our labour laws become more current. Also, a Social safety net may also have to be put in at the same time.
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Old 10th August 2012, 11:41   #7
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Default Re: Honda suspends two workers in Manesar facility

The latest update: second round of talks between the management and workers union fails.

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Old 10th August 2012, 11:46   #8
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Default Re: Honda suspends two workers in Manesar facility

Honda has expressed it's displeasure at the way issues are cropping up between labourers and management. This isn't the first time they are facing the heat due to labour unrest. They have gone through this quite heavily in the past. They are faintly hinting at political under-currents being responsible for all the troubles factories are facing: Source.
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