General Motors would not have anticipated such a setback in its Gujarat unit mooted by the employees who have been on strike for the second week. The strike has already incurred a loss of 100 units a day and the unit is not in a position to revive the normal production. The capacity of the unit is 85000 annual units and the employees are on protest over the alleged mass transfer of them to dealership outlets. Other reasons cited by them are the wage disparity in violation of the agreement made in December last. The VP of general motors said the revival of production has been witnessed as 550 out of 900 workmen are on their foot to work and the production is going on in a single shift. The capacity for a single day with full workmen was 190 but with this lesser number the volume has decreased to 70 units. The total loss of production as on date is nearly 600 units, he said. This is the second such strike effected by the employees after the earlier one in October when the loss was 450 units net.
The strike has attracted Economic Survey magazine to portray that Gujarat is the one state which has witnessed large number of labor strike or labor unrest. These incidents mar the privileges extended to the companies by the state Chief Minister, who claimed that the state has so far accrued Rs20.83 lakh crore by way of investments from Vibrant Gujarat Summit, held two months ago. However, the situation turned out to a turmoil with the Income Tax department claiming the details of 7936 MoUs signed in this Summit. The VP of General Motors said the on going strike is not related to the company affairs instead it is a rivalry in trade union and the strike has no blessings from the state government. Already there is a registered trade union called General Motors Employees Union and now the INTUC has come into the picture backed by the party ruling at the Centre.
The General Secretary of General Motors Employees Union said the contract between the Union and the company has clauses for transfer to any place as wished by the company. Hence he treated the strike as needless and unfit for the employees. This unit is in charge of manufacturing Aveo U Va; Aveo, Optra, Cruze and Tavera. The company’s Talegaon facility in Maharastra has the task of manufacturing Spark and Beat at the annual volume of 1.4 lakh units.
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