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-Presented by Susheel

Loss-Loss
Situation
Causes

Differences in salary pay

Working Conditions

Unions generally limit themselves to acting as a


voice of permanent employees

Demand for a new union


Impact on Company
Operations stopped for a month.

Loss estimated to be over Rs. 1,500 crore

Fear of insecurity to the employees and their families

Problem of lack of labor resource

Maruti changed its recruitment policy

GOODWILL….
Impact on Economy
Large labor- unemployed

GDP affected

Loss of country resources

Disturbance- affecting the common man


Problems
• Lack of communication between HR people
and labour

• Lack of coordination between labour union


and HR department
For Managers….

• They have to Properly Co Ordinate with each other


• Proper rules for indiscrimination in salary
• They have to control the public pokers
• They should try to understand the labour’s problem
Personnel Managers and Damagers

Actually the problems lies with personnel


Managers & HRD managers

These people take hefty salaries

These personnel managers are like Indian


politicians, they want money but nobody
else should get it!
Why workers at Maruti's Manesar
plant are disgruntled

It is perhaps the socialist way of thinking.


There is no real development.
Only the union is stronger and there is real work
culture. This also should change
Impact
They are negative trigger for
existing companies and region
across the countries and also for
prospective investors and job
seekers
Manesar’s outcome

o Plant was suspended

o Abolish contract basis

o Loss Rs 75 Core per day


Lesson’s learnt

o Policies

oDiscrimination between workers

o Late intervention by the government


Labour Law
A minimum time rate of wages

A minimum piece rate

Non-Discrimination of people at Workplace.

Local Hiring

Leave without wages

Working hours, holidays and overtime


Labour Laws tweaked by Maruti
Enforcement of the Labour Laws was not
followed strictly.

Labour laws need to be followed but only on


humanitarian grounds.

Differences in Salary Pay.

Working Conditions.
Lack of proper negotiations.

Minimum wages.

Contract Labour

Companies hire temporary and contract workers


not only because they are cheaper, but because
they can be laid off when they are not required
Necessary changes done after the
event.
Hiring contract workers through company HR and
not through a contractor.

Reopened the plant with 300 workers

Fresh recruitment of permanent workers

Terminate the services of 500 permanent workers.


(Involved in Violence)
What could had been done in order to avoid the
event

Employee Labour Relationship should had been


maintained in decorum.

Flexibility is the key, not the cheapness.

Treat workers in the factory like humans.

The workers should refrain from taking law into their


own hands.