Latest Car News in India

Friday, September 16, 2011

By Pranjal Gera

Maruti stops production as Manesar strike spread to Suzuki plants

The Indian auto giant Maruti Suzuki has decided to stop the production on Friday as the ongoing Strike at its Manesar plant spread to some Indian plants of its Japanese parent Suzuki.

It has been about 18 days since, the stand-off between workers and management is going on at the Manesar plant of the company. The trouble started on 29th August when the company asked its workers to sign the ‘good conduct bond’. Besides a handful of employees who agreed to sign the bond at that time, most of the Maruti’s workforce is yet to sign the bond. By signing the good conduct bond with the workers, the company wants to make sure non repetition of quality related issues.

The production of company’s highest selling premium hatchback Maruti Swift has been severely hit due to this strike. The firm that had earlier planned to roll-out as many as 18,000 units of this car at Manesar plant is now struggling with halted production.

In the Statement issued on Thursday, Maruti Suzuki India said that recent strike at Suzuki Power train India Limited has caused a disruption in the total sales of the firm. The Suzuki Powertrain is 70 percent owned by Japanese auto giant Suzuki and supplies about 3 lakh diesel engines per annum to the car maker.

Meanwhile, Maruti has maintained its stand by saying that it will not compromise, and will only allow the workers who are ready to sign the good conduct bond.

Post Comment


Book A Test Drive

Click Here