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Maruti Suzuki Evicts Striking workers Amidst Chaos
The Strike at Manesar has had a cascading affect on Maruti Suzuki's other plants in Gurgaon. Workers at Suzuki Powertrains which produces diesel engines and K-Series Engines have also gone on strike since Friday. This has meant the Gurgaon plant is not getting engines to build its cars. This has lead to Maruti Suzuki stopping production at this plant too. Maruti Suzuki builds the Alto, Ritz, Swift DZire and the Maruti 800 in Gurgaon.
The Alto is Maruti's highest selling car and is the only car that has still sustained a growth in sales. With this stoppage in production, it is highly unlikely that we will be able to see the Alto Xplore that was launched yesterday.
The Indian carmaker has been trying to talk to the workers byt the workers have responded violently. There have been reports of supervisors being attacked and injured. Even the Haryana government which brokered talks between the workers and the management is now angry with the workers.
The Haryana government is loosing several crores in revenues due to the stoppage of production. Maruti Suzuki has suffered losses more than 1,600 crores. The workers are insisting that their temporary workers have to be reinstated before a strike ends. But the this week long strike has reduced support to the workers from the government. With persistent labour issues plaguing Maruti Suzuki, The Indian carmaker is facing a huge drop in revenues.
Maruti Suzuki's Gurgaon plant has a production capacity of 2,800cars a day and the strike has meant there has been little production. The only possible cars that can be built with the available parts are the Omni, Eeco and the Maruti 800. All these cars do not have high demand and will not help the carmaker much.
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